Replies to This Discussion

Permalink Reply by Smitty on July 19, 2012 at 9:45am

I think HAFA is only for primary residences, but I do have a HAFA 2 unit right now, but the seller lives in one unit.

Permalink Reply by Jim McCormack on July 19, 2012 at 9:45am

No, the property is not eligible for HAFA.  Please see page 6 of this document: http://realestateagent.bankofamerica.com/content/documents/Cooperat....  HAFA is only for an owner occupied primary residence.

Permalink Reply by Jack Barry on July 19, 2012 at 9:48am

thank you both, I was kinda thinking same thing.....what a mess

Permalink Reply by Jimena Paridee on July 19, 2012 at 10:02am

Actually under the new HAFA guidelines that went into effect on June 1 the property does not have to be owner occupied, if the property has a tenant then the tenant is the one that gets the incentive and if it is vacant then there is no incentive.

You may be eligible for HAFA if you meet all of the following criteria:

• You have a documented financial hardship.
• You have not purchased a new house within the last 12 months.
• Your first mortgage is less than $729,750.
• You obtained your mortgage on or before January 1, 2009.
• You must not have been convicted within the last 10 years of felony larceny, theft, fraud, forgery, money laundering or tax evasion in connection with a mortgage or real estate transaction.

 

Permalink Reply by Jack Barry on July 19, 2012 at 10:03am

i just got this reply form WF: "With the new HAFA directive as of June 1 there is no occupancy rule to qualify for HAFA. The occupancy will determine who actually is eligible for the $3000 but they can still qualify for HAFA"

Permalink Reply by Jim McCormack on July 19, 2012 at 10:36am

I don't think investment properties are eligible.  The current guidelines do not say anything about investment properties being eligible.  It is probably a moot point.  I had a seller be turned down due to being out of a primary residence for more than 90 days even though the Treasury Department had changed that rule to 12 months several months earlier.  The lenders are way behind the changes in terms of processing the short sales.

Permalink Reply by Smitty on July 20, 2012 at 12:58am

I'm leaning on agreement with Jim here.  I think if it was bought as an investment property, it's not eligible.  If it was bought as a primary and the homeowner had to move and put a tenant in, it COULD be eligible, but I am *NOT* a HAFA expert by any means.