HAFA OFFERING $10,000 CASH INCENTIVE FOR SHORT SALES
We can help guide you through the government’s HAFA cash incentive program.
Call us at 425-381-2233 for more information.
The federal government’s Home Affordable Foreclosure Alternatives (HAFA) Program went into effect on April 5, 2010 and is designed to provide relocation assistance incentives for borrowers to do a short sale (or a deed in lieu) in order to avoid foreclosure. HAFA assists eligible homeowners in quickly implementing short sales by providing financial incentives to participating lenders.
HAFA allows a homeowner to remain current on their mortgage, qualify for the HAFA program, and go through a short sale with less of an impact on their credit score than a foreclosure or regular short sale. The deadline for submitting for HAFA eligibility has been extended to December 30, 2016.
Here are some features of the HAFA program:
- A seller may receive up to $10,000 in relocation incentive.
- HAFA eligibility criteria includes primary residences, second homes, vacant properties, and rental properties.
- Once you complete a HAFA short sale, there is a waiver of deficiency, meaning you are released from any remaining mortgage debt.
- Mortgage payments are allowed to exceed 31% of the homeowner’s gross monthly income. The effect of this is to allow a homeowner to remain current on her mortgage and still qualify, minimizing the overall potential impact to her credit, and shortening the waiting period to purchase in the future.
- Second mortgage holders may receive up to $12,000 from the proceeds of the sale in exchange for release of the mortgage debt. Other parties in the sale – usually the buyer – can also contribute funds to the second mortgage holder to help settle the debt. This makes negotiating the sale with a second mortgage holder much easier.
- Mandates regarding what the lender can state on the borrower’s credit report lessens the impact on the borrower’s credit rating.
Washington Property Solutions Can Help Guide You Through The HAFA Process. Call Us at 425-381-2233 for More Information.
Read these HAFA short sale success stories:
- Bellevue, WA Condo Short Sale Homeowners Receive $10,000 HAFA Cash Incentive
- Kirkland, WA Homeowner Receives $10,000 HAFA Cash Incentive for Short Sale
- Kent, WA Homeowner Receives $10,000 in HAFA Relocation Assistance
- Chase Pays $30,000 Incentive to Duvall, WA Short Sale Seller
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Washington Property Solutions
Windermere Real Estate /East Inc.
11100 Main Street, Suite 200, Bellevue, WA 98004