The Home Affordable Foreclosure Alternative or “HAFA” is an initiative that was introduced to help struggling Homeowners successfully short sell their home by following a set of established and simplified guidelines. The program does not cover every homeowner or every property. See below for more detail.

Important dates to know when it comes to HAFA:

• Program is effective as of April 5, 2010
• Progam expires on December 31, 2012
• Once Homeowner signs agreement with their Servicer they are under the HAFA contract for 5 months (can be extended if mutually agreed upon)

How will HAFA help Homeowners? HAFA has...

• Created a set of standard processes and timeframes - one key timeframe is that lenders will have a maximum of 10 days to respond to buyers offers on a HAFA approved property
• Established financial incentives payable to Homeowners, Servicers and Investors
• Releases struggling Homeowner from all future liability for forgiven debt (this refers to mortgage balance and NOT potential tax liability – consult with a Tax Professional regarding your tax consequences)
• Gives the Homeowner (the seller) the ability to receive pre-approved short sale terms before even listing their home
• Keeps the Servicer from reducing Real Estate Commissions as a condition of the approval
• Streamlines Homeowners HAFA eligibility by using information from HAMP analysis

Who qualifies for HAFA, more details?

• Property is a primary residence
• Owner is delinquent or about to be delinquent on their mortgage
• Property is not financed through Fannie Mae or Freddie Mac (I can check for you)
• The mortgage loan is a first lien mortgage originated on or before January 1, 2009
• The current unpaid principal balance is equal to or less than $729,750
• The owners total monthly mortgage payment exceeds 31% of their gross income.
• $3,000 moving assistance check will be cut by the Title company at a successful COE
• Up to $2,000 for investors who allow a total of up to $6,000 in short sale proceeds to be distributed to subordinate lien holders, on a one-for-three matching basis.

Contact me for complete details on HAFA Timeframes and Guidelines or visit the HAFA website.

PARTICIPATING LENDER LIST

Allstate Mortgage Loans & Investments, Inc.
American Eagle Federal Credit Union
American Home Mortgage Servicing, Inc.
AMS Servicing, LLC
Aurora Loan Services LLC
Aurora Loan Services LLC
Bank of America, N.A.
Bank United
Bay Federal Credit Union
Bay Gulf Credit Union
Bayview Loan Servicing, LLC
CCO Mortgage
Carrington Mortgage Services, LLC
Central Florida Educators Federal Credit Union
Central Jersey Federal Credit Union
Chase Home Finance LLC
Community Bank & Trust Company
CitiMortgage, Inc.
Citizens 1st National Bank
Citizens First Wholesale Mortgage Co.
Countrywide Home Loans Servicing LP
CUC Mortgage Corporation
Digital Federal Credit Union
DuPage Credit Union
EMC Mortgage Corporation
Eaton National Bank & Trust Co
Farmers State Bank
Fidelity Homestead Savings Bank
First Bank
First Federal Savings and Loan Assoc of Lakewood
First Federal Savings and Loan of Port Angeles
First National Bank of Grant Park
First Keystone Bank
Franklin Credit Management Corporation
Fresno County Federal Credit Union
Glass City Federal Credit Union
Glenview State Bank
GMAC Mortgage LLC
Golden Plains Credit Union
Grafton Suburban Credit Union
Great Lakes Credit Union
Greater Nevada Mortgage Services
Green Tree Servicing LLC
Harleysville National Bank & Trust Company
Hartford Savings Bank
Hillsdale County National Bank
HomEq Servicing
Home Financing Center Inc.
HomeStar Bank and Financial Services
Home Loan Services, Inc.
Horicon Bank
Horizon Bank, NA
Iberiabank
IBM Southeast Employees Federal Credit Union
IC Federal Credit Union
Idaho Housing and Finance Association
iServe Residential Lending, LLC
iServe Servicing Inc.
J.P. Morgan Chase Bank, NA
Lake City Bank
Lake National Bank
Litton Loan Servicing
Los Alamos National Bank
Marix Servicing, LLC
Members Mortgage Company, Inc
Mission Federal Credit Union
Metropolitan National Bank
MorEquity, Inc.
Mortgage Center, LLC
Mortgage Clearing Corporation
National City Bank
Nationstar Mortgage LLC
Navy Federal Credit Union
Oakland Municipal Credit Union
Ocwen Financial Corporation, Inc.
OneWest Bank
ORNL Federal Credit Union
Park View Federal Savings Bank
PennyMac Loan Services, LLC
PNC Bank, National Association
Purdue Employees Federal Credit Union
Q lending, Inc.
Quantum Servicing Corporation
RG Mortgage Corporation
Residential Credit Solutions
Roebling Bank
RoundPoint Mortgage Servicing Corporation
Saxon Mortgage Services
Schools Financial Credit Union
SEFCU
Select Portfolio Servicing
Servis One Inc.,dba BSI Financial Services, Inc
ShoreBank
Silver State Schools Credit Union
Sound Community Bank
Specialized Loan Servicing, LLC
Spirit of Alaska Federal Credit Union
Stanford Federal Credit Union
Sterling Savings Bank
Tempe Schools Credit Union
Technology Credit Union
The Bryn Mawr Trust Company
The Golden 1 Credit Union
United Bank
United Bank Mortgage Corporation
Urban Trust Bank
Vantium Capital, Inc.
Verity Credit Union
Visit Financial Corp.
Wachovia Mortgage, FSB
Wachovia Bank, NA
Wells Fargo Bank, NA
Wescom Central Credit Union
Wilshire Credit Corporation
Yadkin Valley Bank