Good News for PPP Borrowers
For NAR members who borrowed $50,000 or less through the Paycheck Protection Program, it is now easier to receive automatic loan forgiveness. These smaller loans now require less documentation and fewer calculations than the previous process. The U.S. Small Business Administration and the Treasury Department announced the simplified process late last week.
Many NAR members who took PPP loans will benefit, says Shannon McGahn, NAR’s chief advocacy officer. “This new application (SBA Form 3508S) is one-and-a-half pages long, which is about as good as it gets for a government program and half the length of the previous EZ Application,” she says.
One in five NAR members report having taken out a PPP loan since the program was created, according to a recent NAR survey. NAR continues to actively encourage Congress, in any future COVID relief bill, to forgive loans of less than $150,000.