Just recieved a rejection on a HAFA short sale request with a contract in hand for a Dec closing. In the HAFA guidelines it says " either delinquent or in imminent danger of foreclsoure". I'm trying to find out what qualifies as "imminent danger of forecosure"  without being delinquent. Homeowner is out of money - she tried to refi (BofA said she couldn't due to declining value). She applied for a loan mod and was turned down. We submitted the HAFA short sale & she was rejected.

 

 Homeowner has maxed out her credit cards and borrowing from family to make the mortgage payments. She can not make the Dec payment. BofA says they consider a delinquent mortgage to be 60 days late. BofA will approve the contract price on a regular short sale.

 

We actually received a counter offer from the reuglar short sale dept 3 1/2 days prior to finding out the homeowner had been rejected for the HAFA. Coudln't get BofA to clarify if the counter offer was a HAFA counter or a regular counter.

 

We're in SC, which is a recourse state.

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Same problem with another home in South Carolina. We had a cash offer on the home, but the owner was rejected from HAFA because he had stayed up to date on his payments. Though we were told that AFS was submitting the offer, we were later told that it was never submitted. The owners stopped borrowing money from family members to make payments in the hopes that their next application and offer would be considered.
Any homeowner who is seeking to apply for a government loan program but is rejected because they are not behind in their mortgage payments might be a victim of the federal hobbs act and may also be a victim of parallel foreclosure.

I personally feel Barack Obama could get impeached over this. Luring homeowners into taxpayer funded government programs that require parallel foreclosure prior to the homeowner being allowed to either apply or be accepted to a program is crossing a line, the federal hobbs act, the extortion clause, line.
hobbs act? oohh gotta look that one up. I have a "imminent danger" file - it's a job relocation. BAC making the homeowners go thru HAFA adding enormous time delays to the file while this poor guy struggles to manage 2 households... like they want him to fail. the real crap is that this is the ONLY offer after being on the market for four full months - the house shows like a model but..it is in the middle of nowhere...
How many out sources doea BoA have for HAFA, geez?
Imminent danger of foreclosure - well, if they are IN foreclosure they are already late. If they are current, they are not late and they are not in imminent danger of foreclosure. Perhaps they are are speaking of the other non-monthly payment defaults, like non-payment of taxes? I think that is reading too much into it - just figure they are late or they are not. You have a better chance of 2nd guessing the Farmers Almanac than the bank.
I would say get on the phone and keep asking and escalating until you get a real answer. BOA is excellent and incorrect and useless answers. Was it HAFA underwritten? Who will put name/ID on the line that it has or has not been? What is this immeinent danger of foreclosure for someone not even behind? Show me the HAFA guideline which pertains to that - now!

BOA will let everything slide into oblivion if you let it. Make them explain and hold someone accountable.

Perhaps, after you have made a real effort with negotiator/team lead/manager, you should call the office of the president. And since they seem to be just another P.R. phone group (to me, although some people claim things get done), I would throw in that if I cannot get the right answers, I'll be submitting my questions to the OCC. That might make them think you are actually serious.

Good luck!
Just got an approval on a HAFA short sale, the sellers are current and not in iminent danger of foreclosure. They do have a hardship of a job loss that could eventually lead to them missing payments though

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