Housing Industry Professionals Celebrate Extension of Flood Insurance Program

July 04, 2012

stock photoThe National Association of Home Builders (NAHB) and its members who rely on the National Flood Insurance Program (NFIP) won an important victory last week. The U.S. Congress reached an agreement to reauthorize the program through the end of September 2017.

Many home buyers have had to delay or cancel closings over the past few years due to short-term lapses in authorization that prevented them from obtaining NFIP insurance for a mortgage. In some cases, builders were forced to delay or stop construction on new homes due to lack of flood insurance approval.

“NAHB has been working tirelessly to make sure that this vital program, which was set to expire on July 31, was reauthorized for five years to ensure that the federally-backed flood insurance program operates smoothly and without delay, remains efficient and effective in protecting property owners, and creates more stability in the housing market,” said NAHB Chairman Barry Rutenberg, a home builder from Gainesville, Fla.

However, Congressional leaders agreed to roll flood insurance legislation into a larger legislative package that was approved by the House and Senate, and is expected to be signed into law by President Obama soon.

The five-year extension of the NFIP guarantees that the program will remain available, affordable and financial healthy said Rutenberg.

The NFIP, which was established in 1968, offers affordable flood insurance to home owners and businesses in flood plains and other low-lying areas that otherwise might not be able to obtain coverage.

More than 20,000 communities nationwide participate in the insurance program, which currently covers about 5.6 million policyholders.

About The Author

Read All Stories By Mitch Levinson

Mitch Levinson is the author of “Internet Marketing: The Key to Increased New Home Sales” published by BuilderBooks. He is an Internet marketing expert with expertise in search engine optimization, website development, email marketing, social media and CRM consulting services. He is known for creating effective programs that can be tracked through analytics to prove effectiveness and ROI. Mitch is founder and president of MLC New Home Marketing and MLC FlatFee Realty, as well as managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Chicago and Atlanta. He currently leads the Chicago team. A Multi-Million Dollar Sales Producer who earned an MBA in Computer Information Systems and eCommerce, he brings a unique perspective and experience to the field of real estate communications. Mitch combines the two interests in order to help home builders and developers gain a competitive advantage through the Internet and technology. When he isn’t behind a computer, he enjoys participating in sports and coaching his kids’ teams. Mitch resides in Arlington Heights, Ill., a northwest suburb of Chicago, with his family, which includes two rambunctious labs. Visit my Google+ profile.

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