HUD, REO, Homes, Community, and Real Estate News

HAFA Short Sales Help Sellers & Buyers
May 20th, 2011 10:25 PM

HAFA Provisions 

  • Complements HAMP by providing a viable alternative for borrowers (the current homeowners) who are HAMP eligible but nevertheless unable to keep their home.
  • Uses borrower financial and hardship information already collected in connection with consideration of a loan modification.
  • Allows borrowers to receive pre-approved short sales terms before listing the property (including the minimum acceptable net proceeds).
  • Requires borrowers to be fully released from future liability for the first mortgage debt (no cash contribution, promissory note, or deficiency judgment is allowed).
  • Uses standard processes, documents, and timeframes/deadlines.
  • Provides the following financial incentives:
    • $3,000 for borrower relocation assistance;
    • $1,500 for servicers to cover administrative and processing costs;
    • Up to $2,000 for investors who allow a total of up to $6,000 in short sale proceeds to be distributed to subordinate lien holders, on a one-for-three matching basis.

Realtor.com Link to HAFA Short Sales:

http://www.realtor.org/government_affairs/short_sales_hafa

Search for Short Sales:  http://seattle.northwesthomequest.com/

 


Posted in:General
Posted by Chris Cross on May 20th, 2011 10:25 PMPost a Comment

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