NO FLOOD INSURANCE? HERE IS HOW YOU CAN GET MONEY
If you are one of the ones that experience the great Oklahoma floods that has wrecked your house and personal belongings and your home wasn’t in a flood zone that required you to carry flood insurance, what can you do? Or what should you do?
As you may already know, homeowners insurance doesn’t pay to repair the house or replace belongings damaged by flooding alone. Flood insurance is a seperate rider or coverage. Most flood policies come through the National Flood Insurance Program.
A full coverage comprehensive car insurance, an optional coverage, pays for flood damage to a vehicle. If your vehicle has any coverage below comprehensive it may not cover flood damage to your car.
How do you get help even if you do not have flood insurance
If your home and personal belongings are flood-damaged and you don’t have flood insurance, some help may be available from FEMA and small grants and larger low cost loans from the federal government.
According to FEMA the maximum amount of FEMA grant money for repairs is $33,000.00 for a household. Up to $200,000 is available through loans from the U.S. Small Business Administration for Flood Victims. The Federal help is available only for a primary home, not for second homes or any investment properties.
* SBA Loan to Repair or Replace a Home Maximum $200K
* SBA Loan to Refinance Mortgage Maximum $200K
* SBA Loan to Replace Damaged Belongings Maximum: $40K
* FEMA Grant Money For Repairs Maximum: $33K
To see what disaster assistance is available for you, now that President Donald Trump declared Oklahoma is in a state of emergency and named certain counties that relief would be made available. To apply for any disaster assistance click here.
Low Cost Loans From SBA
You might be eligible for a low cost loan through the U.S. Small Business Administration if your home or stuff was damaged. The money is only for uninsured losses and if the damaged home is your primary residence. The maximum interest rate is 4% if you can’t get credit elsewhere and 8% if you can get credit elsewhere. The terms are for up to 30 years. Here’s what’s available, along with some restrictions:
* Loans up to $200,000 to repair or replace your primary home. You can’t use the loan to make upgrades or additions, unless they are required by building codes.
* Loans to refinance up to $200,000 of a mortgage. This available only if you can’t get credit elsewhere, suffered uninsured damage and plan to make repairs.
* Loans up to $40,000 to replace damaged personal belongings, such as clothing, furniture, cars, and appliances. Renters and homeowners can apply.
You can apply for a SBA Loan Online or Apply in Person at a FEMA Disaster Recovery Center.
FEMA’s individuals and household programs provides money for temporary housing, repairs, and construction. The limit is $33,000 for a household. The money can’t replace what insurance provides, but it can be used as a supplement to it. You can apply for money to:
* Rent a place to live if you home is uninhabitable. If no rental units are available, you can apply for temporary housing. The help is for up to three months initially, with a maximum of 18 months.
* Repair uninsured damage. (Apply for SBA Loan for what the grant money will not cover)
* Repair or Replace belongings: If you don’t qualify for a loan through the SBA
* Help pay other disaster-related expenses, such as funerals, medical, and dental help and child care.
In some cases, FEMA provides up to $33,000 to replace a home if it can be done with limited money or to build a home in an area designated by FEMA.
Many flood victims will turn to FEMA for the assistance already promised by state and federal regulators, as well as by President Donald Trump. While FEMA will not rebuild their homes and you should look at the agencies website which discloses some of the ways in which it can help:
Immediate Assistance: After the flooding ceases, FEMA personnel may provide meals for people trying to repair their homes.
Home Repair: Another contingent FEMA personnel surveyed damaged properties and provided thousands of dollars for necessary items such as appliances so residents could remain in their homes.
Loans: The Small Business Administration (SBA) makes loans available to flood victims with approved credit.
Mortgage Relief: The Federal Housing Authority offers help with mortgages to FHA homeowners. Local banks can also do this on a temporary basis to avoid foreclosures and maintain goodwill with their mortgage holders.