H.A.F.A. = Home Affordable Foreclosure Alternative program. Now that’s a mouthful. On November 30, 2009, the government issued more legislation for assistance with short sales. This new program will start April 5, 2010.

                By copyright and from the National Association of Realtors this program will:

1.       Compliment the HAMP program (next blog)

2.       Uses hardship & financial information to consider loan modification

3.       Allow buyers to get pre-approval for short sales

4.       Doesn’t allow banks to reduce real estate commission

5.       Requires the borrower to receive a full release of liability

6.       Provides up to $3000 in various assistance for cooperating

7.       Requires banks who work with in HAMP program to implement this HAFA program

So are you as confused as I am? Bottom line this act should expedite short sales and keep property sales from dropping further. It appears to be a good thing

Thanks,

Brian