HAFA Short Sales Help homeowners move one from a home which has lost equity and become unaffordable

Home Affordable Foreclosure Alternatives (HAFA) Program is helping homeowners avoid foreclosure.

MHA Enhancements Offering Help to More Homeowners

(6/1/12) Good news for the MHA Programs is that the expiration date has been extended to December 31, 2024 and a Tier 2 has now been implimented as of June 1, 2025 to expand eligibility. The Making Home Affordable Program (MHA) which was created in 2009, has not been able to meet it's own projections when created much in part due to the banks unwillingness to quickly process people who are applying for loan modification. When someone applies for a loan, for example, the lender can give a decision very quickly once all the information is given. However, with a loan modification, they take more than 90 days just to review a file and by that time, the documents become old and something else is requested. The updates can be found at https://www.hmpadmin.com/portal/programs/docs/hamp_servicer/sd1202.pdf

Another positive change is the removal of the occupancy requirement and consideration of rental properties now for MHA Programs, including HAFA short sales starting after June 1st, 2012. For homeowners, one of the most promising changes is the increase in the cap offered to second lien holders who agree to extinguish their lien during a HAFA short sale. The HAFA guidelines are also changing to include rental properties. Homeowners should contact myself or their lender / servicers regarding specific questions about the Programs.

(Updated 1/3/13 from Jason Ian Hector who is a REALTOR® and licensed CA Real Estate Broker specializing in short sales.) If your mortgage payment is not affordable and you are interested in transitioning to more affordable housing, you may be eligible for a short sale through government program called HAFA which is sponsored by the US Treasury. The benefit of a HAFA short sale is that you are no longer responsible for the difference between what you owe on your mortgage and the amount that your home sells for. You will also receive $3,000 in relocation assistance upon successful closing of your short sale. In a short sale, the servicer allows you to list and sell the property with the understanding that the net proceeds from the sale may be less than the total amount due on the first mortgage.

The HAFA Short Sale Program can help if you have no equity

One of the first things I do when a client is inquiring about a short sale is to check if the mortgage is owned or guaranteed by Fannie Mae and Freddie Mac as well as see if your servicer is a HAMP participating servicer. A list of HAMP participating servicers can be found here . Each individual case is different and you need the assistance of a licensed real estate professional like myself, so the most important step you can take is to reach out and get me involved. I look forward to helping you. I can be reached in my office at 818.626.6469.

Brought to you from Jason Hector is a REALTOR® and licensed CA Real Estate Broker specializing in short sales. Thank you for visiting my website at www.jasonhector.com.