Hello!
My negotiator at BofA just told me that HAFA no longer exists. I thought it had been extended. Isn't this something the banks should know or are they trying to get away with things. Anyone here have any info/advice on this? Thank you!
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Hi All, I was advised by Ditech that HAFA $10,000 incentive bonus expired December 31, 2016 and now has reverted to $3000 relo bonus only. Has anyone else heard of this?
f you go to http://homeloanhelp.bankofamerica.com/en/assets/documents/HAFA-poli... Then scroll down you will read
Program Expiration Date:
You must submit a written request (mail, fax, or email) for consideration
for a short sale or deed in lieu on or before December 31, 2013 and the
transaction closing date must be on or before September 30, 2014
The US Treasury Home Affordable Foreclosure Alternatives program, which is part of the Obama Administration’s Making Homes Affordable program, has been extended one year and now covers rental properties. The new policy changes for HAFA will take effect February 1, 2013, but servicers can begin implementing the changes earlier. To be eligible, an initial package must be submitted on or before Dec. 31, 2013, and the transaction must be closed on or before Sept. 30, 2014.
It includes a $3,000 relocation incentive for the homeowner and ensures that the outstanding loan balance is forgiven. The amount allowed to pay off a junior lien, such as a second trust deed, has been increased to $8,500 from $6,000.
Homeowners do not have to be delinquent on their payments to apply. And the homeowner can elect to make full payments during the short sale process, in order to stay current on their loan. Homeowners who sell a home using the HAFA program are not liable for the outstanding balance of the loan, a major selling point when President Obama launched the program.
The Treasury’s version of the HAFA program does not apply to all mortgages. Loans owned, insured or guaranteed by Fannie Mae, Freddie Mac, FHA, VA or the Rural Housing Service are not eligible for this program. Fannie Mae and Freddie Mac have their own versions of the HAFA program, and they have not adopted the frequent updates along with the Treasury.
There have been some draw backs to this program however, check them out here.
Simon, where did you get this information from?
In Supplemental Directive 12-02, Treasury announced it was extending the deadline for
eligibility in MHA, including HAFA. This Supplemental Directive amends such guidance to
provide that in order for a loan to be eligible for HAFA a written request (mail, fax or e-mail)
requesting consideration for a short sale or deed-in-lieu (DIL) must be submitted by the borrower
to the servicer on or before December 31, 2013. This Supplemental Directive eliminates the
alternative of receipt of a fully executed Short Sale Agreement (SSA) or DIL Agreement, in the
forms posted on HMPadmin.com. The guidance that the HAFA short sale or DIL must have a
transaction closing date on or before September 30, 2014, remains effective.
https://www.hmpadmin.com/portal/programs/docs/hafa/sd1207.pdf
Remember HAFA Treasury only applies to non Freddie, Fannie, FHA, VA and USDA Loans.
Hi Simon,
Many lenders are telling me that it was not extended. Is this for short sales too? Where are you getting this information? Thank you :)
Non GSE HAFA short sales have been extended through 2013. Fannie & Freddie do have their own programs that give incentives to home owners which is much like the HAFA program. Banks are making many changes this year to their short sale "programs".
A colleague of mine called Freddie Mac directly yesterday & confirmed that Fannie & Freddie are no longer participating in HAFA, but they will offer relocation assistance on their short sales for owner-occupied homes. Hope this helps!
Traditional, Treasury HAFA (Non GSE) was extended in March to run through 12-31-2013.
Bryant is right, FNMA and Freddie (GSE) "HAFA" expired 12-31 2012. But, as Bryant said, the benefits/program for FNMA and Freddie are essentially the same as HAFA anyway.
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