Insurance In Case You Buy and Lose Your Job???

This new program in California (of course …every trend starts there it seems!) offers home sellers the option of funding insurance plans that will provide buyers with up to six months of mortgage payments. This is to entice the buyer to buy their home! Buyers may qualify for up to $1,500.00 a month in the event they lose their job after purchasing.

The program, named the "Home Payment Protection Program," was triggered by California's continued high unemployment rate. It is a creative idea to make the buyers feel more comfortable in stepping out to purchase. Remember when the car dealerships were offering similar programs that they would buy your car back from the buyer if they lost their job?

"Most people wanting to buy houses today have a fear: What happens if I lose my job?" CAR president Beth Peerce said. "This plan takes some of that stress away." The program extends to buyers who've lost their jobs within one year of close of escrow. Sellers may choose between payments of $200 for six mortgage payments of up to $1,000 each or $275 for six payments of $1,500.00 each.

Not sure I see such a program being offered here in the North Dallas/Texas area but we shall see. It is true that "losing one's job" is the number one fear of a buyer buying a home right now. I do agree!