HOME AFFORDABLE FORECLOSURE ALTERNATIVES (HAFA) PROGRAM
HOME AFFORDABLE FORECLOSURE ALTERNATIVES (HAFA) PROGRAM
What is "HAFA" Home Affordable Foreclosure Alternative all about??
It is part of the Obama Administration's broad, comprehensive strategy to get the economy and the housing market back on track.
It all started with the making "Home Affordable Program" offering options for homeowners in distress.
They started with an alternative for refinancing mortgage loans through the Home Affordable Refinance Program (HARP)
They also offered through the Home Affordable Modification Program (HAMP) an attempt for loan modification to assist the homeowner trough these troubling times.
This program in my opinion was not strong enough to assist homeowners in distress and now they have unveiled the HAFA program, bringing an affordable foreclosure alternative to these homeowners/
"Maryland and Virginia Homeowners will benefit with the HAFA Program"
The HAFA Program becomes effective April 5th 2010, services may participate immediately, or as soon as is practical. The primary options available through HAFA include Short Sale and Deed-in-Lieu of Foreclosure.
In a Short Sale with the HAFA Program, the homeowner sells the property for less than the full amount due on the mortgage. If the homeowner qualifies for the HAFA Short Sale, the servicer will then approve the Short Sale terms prior to listing the home and then accepts the payoff in full satisfaction of the mortgage.
What is the difference between a foreclosure and a short sale using the HAFA Program?
In a short sale you SELL YOUR HOUSE and you owe the lender nothing!
In a Foreclosure.YOU LOSE IT ! and you get a deficiency judgment filed against you*
Click on my eBook about Short Sales.. .to have a clearer vision if you could use a SHORT SALE in order to begin a new fresh start.. .you must have a hardship to qualify.
Fernando Herboso is a Certified Distressed Property Expert
and a Gold Member Certified Default Resolution SpecialistTM with (CDRS)
You can call (Fernando Herboso) directly @ 240-898-1848 ext #1 or email : Fernando@Herboso.com
We can help you directly in Maryland, DC or Virginia
If outside our area. ..we can guide you to a local true professional that cares and loves helping people avoid foreclosure as much as we do!
Just give me a call or email to Fernando@Herboso.com
Short Sales Maryland , DC and Virginia
Hi Fernando,
I would be careful with claiming the homeowner will owe the lender nothing if they short sale...a lot of the lenders are requiring the sellers to sign that they still owe the debt. The seconds are being the worst at letting the debt go!
Fernando- Thanks for the great info.
Hi Fernando, Great post as always.... Tiffany - I may be mistaken(and I often am) but from what I understand, IF the shortsale is done through HAFA, there is a complete acceptance of the shortsale as payoff of the loan as Fernando mentioned. Of course in a non-HAFA shortsale, the payoff is always subject to the whims of the "investor"
Tiffany: Precisely why so many homeowners are reluctant to do a short sale while being misinformed. The new HAFA program specifically states that Lenders now. .
Accept the Short Sale terms prior to listing the home and then accepts the payoff in full satisfaction of the mortgage.