[StBernard] sba loans

[Westley Annis]

Westley,
 
The parts you seem to be referring to are related to the house being
unrepaired or not flood proofed if required to be modified; that is what
would make a new owner ineligible-  The trick is that SBA tries to require
documentation stating that you can't rebuild in the current location- so if
they get that in hand and then the property is sold and the issue of the
reason the person moved is not addressed, there may very well be an attempt
to withhold support for the next person.
 
Also, the deed restriction does follow the SBA loan so an owner will have a
lien on the old and new properties, even if one property satisfies the loan
amount-  no way they are letting the evil hurricane victims squander the
well spent federal money over this little disaster (excuse the sarcasm)
 
Thanks for your help,
Craig


-----Original Message-----
For those that are getting an relocation loan from SBA, have they mentioned
anything to you about deed restrictions?  I've heard rumors that SBA will
place a deed restriction on your old house such that if you sell it, the new
owner will not be eligible for any type of FEMA or SBA assistance if another
storm should occur in the future.

Also, should you do this and hold on to the house until you have repaid SBA,
can you then remove the deed restriction?

Westley