diff --git a/ArduCopter/ArduCopter.pde b/ArduCopter/ArduCopter.pde
index 0edd1eef40..691c33c238 100644
--- a/ArduCopter/ArduCopter.pde
+++ b/ArduCopter/ArduCopter.pde
@@ -1211,6 +1211,11 @@ static void update_GPS(void)
                     // start again if we lose 3d lock
                     ground_start_count = 10;
                 }
+            } else {
+                // update home position when not armed
+                if (!motors.armed()) {
+                    update_home();
+                }
             }
 
             //If we are not currently armed, and we're ready to 
diff --git a/ArduCopter/commands.pde b/ArduCopter/commands.pde
index 2481a0b7d0..3dc10b5e71 100644
--- a/ArduCopter/commands.pde
+++ b/ArduCopter/commands.pde
@@ -26,5 +26,19 @@ static void init_home()
     scaleLongUp   = 1.0f/scaleLongDown;
 }
 
+// update_home - reset home to current location
+//  should be called only when vehicle is disarmed
+static void update_home()
+{
+    // copter uses 0 home altitude
+    Location loc = gps.location();
+
+    // set ahrs object's home position
+    ahrs.set_home(loc);
+
+    // update navigation scalers.  used to offset the shrinking longitude as we go towards the poles
+    scaleLongDown = longitude_scale(loc);
+    scaleLongUp   = 1.0f/scaleLongDown;
+}