Real estate agents can apply for Paycheck Protection Program (PPP) money through the end of March. The federal government last week extended the PPP loan program to independent contractors, including real estate agents.
The newest round of pandemic relief funds includes $250 billion in PPP loans for small businesses, and approximately $128 billion of the earmarked stimulus money is still available. Agents interested in applying for funds have until March 31 to do so, unless the government extends the allowance for independent contractors.
To qualify, agents must not have already received a PPP loan, and must have received a commission check in February 2019 as an independent contractor. About 90% of agents will qualify for the forgivable government loans, which are likely to be between about $5,000 and $20,000, according to a news release.
The money can be used for payroll, employee benefits, mortgage interest, rent and utilities and many other pandemic-fueled business expenses, according to Small Business Administration (SBA) information. The National Association of Realtors last week published a statement explaining which real estate brokerages are eligible to receive a PPP loan, what documentation must be provided to the Internal Revenue Service to prove eligibility and what information must be provided to lenders.