Real Estate Information Archive

Blog

Displaying blog entries 1-4 of 4

Foreclosure is Avoidable with HAFA

by Doug & Gwen Campbell at Sun Bay Associates

The latest government initiative to combat the millions of foreclosures across the country is called the Home Affordable Foreclosure Alternatives Program, or HAFA.

HAFA is the program put in place to benefit homeowners who do not qualify for HAMP, or Home Affordable Mortgage Program.  HAFA was released in April of 2010 and is designed to expedite the foreclosure avoidance options for homeowners in need. HAFA, using the short sale process, can potentially save millions of homeowners the financial devastation of a foreclosure.  Since the statistics tell us that 1 in 7 homes are in default, right in your neighborhood there are people who need help with avoiding foreclosure.  A short sale process is simply selling a property for less than the mortgage amount due in order to avoid foreclosure.

Here is how someone can qualify for the HAFA Program.

They must:

1. Be delinquent on the mortgage or face imminent risk of default

2. Occupy the property as the primary residence

3. Have a mortgage that  originated on or before January 1, 2009

4. Have an unpaid principle balance no greater than $729,750 for a one unit property; AND

5. Have total monthly mortgage payments exceeding 31 percent of the gross income.

The HAFA short sale process is the primary solution to avoid foreclosure, salvage one’s credit score and move on with dignity through the process.  The following link shows lenders currently participating in HAFA: 

http://www.makinghomeaffordable.gov/contact_servicer.html

If you know anyone who is in need of expert guidance to navigate the short sale process, be sure they contact someone who is an expert, such as a Certified Distressed Property Expert, or CDPE.

 

HAFA Explained - Simply

by Doug & Gwen Campbell at Sun Bay Associates

Does HAFA make sense to you?  You're not alone.  Watch this 2 minute video for a very clear and simple to understand explanation of HAFA and loan modifications.

http://www.youtube.com/watch?v=8TXx8rKy-Ow

Now, wasn't that better than reading pages of verbiage that just put you to sleep?  We can help, contact us.  We are Certified Distressed Property Experts, or CDPE, and know how to help you through a trying experience.

HAMP or HAFA and Your Mortgage

by Doug & Gwen Campbell at Sun Bay Associates

At last, the federal government is taking real action to provide homeowners assistance with their mortgages.  A new initiative, Home Affordable Foreclosure Alternatives Program, or HAFA, is now in effect to help homeowners.  The details are complicated, and you, the homeowner, need to clearly understand these new solutions to gain the most benefit.  This is a critical issue, especially for the Tampa Bay real estate market since this market has been so hard hit by the economic downturn.  As a Certified Distressed Property Expert (CDPE), Sun Bay Associates is in a position to explain the nuances and benefits of the HAFA process.

In March 2009, the Home Affordable Modification Program or HAMP, was introduced to provide homeowners assistance if their mortgage payments exceeded guidelines for income levels (above 31% of income).  Most homeowners, however, are facing such financial hardship that the HAMP can't provide them deep enough discounts on the mortgage and either don't qualify or in the end will default on the modified mortgage anyway.

Enter the HAFA program.  This is specifically designed for homeowners who don't qualify for HAMP aid.  HAFA is supposed to speed up the foreclosure avaoidance options for those homeowners who need this help.  HAFA can help same millions of homeowners from the financial disaster of foreclosure by getting either a short sale or a deed in lieu of foreclosure accomplished relatively quickly.  A short sale is when the home is sold for less than the outstanding mortgage amount and a deed in lieu is when the property is completely turned over to the lender because the homeowner cannot continue making payments.  Then the bank will sell the house to salvage as much of the loan balance as possible.

A critical item in qualifying for the HAFA program is that the loans are NOT owned or guaranteed by Fannie Mae or Freddie Mac and applies only to the first lien mortgage.  HAFA does offer incentives to lenders for those homeowners who have second, third or more mortgages on their homes.  Also, HAFA prevents lending participants from pursuing deficiency judgments against the homeowner after the short sale or deed in lieu has been completed.  If you are in the Tampa Bay area and need to avail yourself of the HAFA program, or are seeking financial help with your mortgage and don't know where to turn, contact us.  We will send you a report that clearly outlines the HAFA process.

With the detailed training and ongoing education as CDPE, we will be able to explain your options.  We can walk you through the various programs available to assist you, whether it is to keep your home by loan modification or going through the short sale or even deed in lieu process as quickly as possible so life can return to normal without the financial stress of a crushing mortgage payment.

New HAFA Guidelines

by Doug & Gwen Campbell at Sun Bay Associates

 

Federal Short Sale Guidance Out

On November 30, 2009, the U.S. Department of the Treasury announced the Home Affordable Foreclosure Alternatives Program (HAFA), which provides financial incentives to servicers, borrowers, and investors for a closed short sale or a deed-in-lieu (DIL). The guidelines provide $1,500 in federal funds to help borrowers relocate, $1,000 to help servicers offset their  processing costs, and up to $1,000 to investors to secure release of subordinate liens. The guidelines prohibit a reduction in agreed-upon commissions (if they're not more than 6 percent) and take effect April 5, 2010, but can be implemented by servicers at any time.

If you would like more information on the HAFA program, send us an email and we'll respond within 24 hours with additional details.  Doug@SunBayAssociates.com - request HAFA guidelines.

 

 

 

Displaying blog entries 1-4 of 4

Syndication

Categories

Archives

Contact Information

Photo of Gwen and  Doug Campbell - Sun Bay Realty Group Real Estate
Gwen and Doug Campbell - Sun Bay Realty Group
at Keller Williams Realty
30522 US Hwy 19N, Suite 107 S
Palm Harbor FL 34684
Doug's Cell 727-741-4189
Gwen's Cell 727-741-7260
Fax: 888-447-7908