The National Association of Realtors (NAR) reports on April 15, 2010, Congress passed, and President Obama signed, legislation to renew the National Flood Insurance Program (NFIP) through May 31, 2010.
Congress allowed the NFIP to expire March 28, 2010. By law, flood insurance is required for the purchase of real estate in a 100-year floodplain. The lapse in flood insurance resulted in many delayed, and even cancelled, transactions.
During the lapse period, NAR worked with Federal agencies, GSEs and bank regulators to clarify what lenders and insurers may and may not do to help work through the program’s expiration.
NAR will work closely with its congressional allies to help ensure a lasting reauthorization and extension prior to the May 31 deadline.
