July 12, 2024

foreclosure - short sales
foreclosure - short sales

The new rules were issued under the Treasury Department’s Home Affordable Foreclosure Alternatives Program (HAFA). Under the modified HAFA rules, the short sale process is streamlines and standardized at a national level, including uniform documentation and costs

  • Lenders are required to answer a request for a short sale within 10 business days of receiving the purchase offer.
  • Homeowners also get $1,500 in cash as a “relocation incentive” to cover moving costs, deducted from the sale price.
  • Mortgage lenders, in turn, receive $1,000 to help cover and speed up the process of the sale.

The new HAFA short sale rules don’t take effect until April 2010. The new rules will offer significant assistance to homeowners in trouble when they take effect, particularly in the realm of whether or not a homeowner who has completed a short sale owes any dept in the property.

Orange County California lawyers

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