HAFA (Home Affordable Foreclosure Alternative) is a short sale program being sponsored by the U.S. Treasury Department. For the past couple of years, short sales have been haphazardly managed by banks without enough staff to focus on these transactions, no consistency in the procedures and not much interest in making them work. HAFA is the government’s effort to bring standardization to the proces and to make sure that a borrower’s right to stay in their home has been explored and protected.
ADVANTAGES OF HAFA
· Allows the borrower to receive pre-approved short sale terms prior to listing the property - listing the property as an APPROVED HAFA SHORT SALE will attract many more buyers than a standard short sale because buyers and their agents will know that it is a shorter, more streamlined process and that the lender has already agreed to the terms of the listing;
· If a buyer writes an offer that matches the asking price and terms for a HAFA short sale property, the bank MUST agree to the short sale - under standard programs the lender has no obligation to agree to the short sale.
· Requires the borrower be fully released from future liability for the debt;
· Uses standard process, documents and timeframes;
· Provides financial incentives to borrowers, servicers and investors to close the short sale (i.e., $3000 to borrower at close to help with moving expenses);
TO FIND OUT IF YOU MIGHT QUALIFY FOR A HAFA APPROVED SHORT SALE, COMPLETE THE SHORT QUESTIONNAIRE BELOW AND I WILL CONTACT YOU TO LET YOU KNOW IF THIS IS AN ALTERNATIVE YOU SHOULD CONSIDER
