(Click on the photo above for a downloadable PDF document that will be easier to read and printable)
What’s HAFA mean to you? It actually may not mean much… unfortunately our government has good intentions but missed the mark in my opinion on this program that started on April 5, 2010.
Perhaps a step in the right direction but… not worth getting too excited over unless they change a few major conditions!
The biggest issues are:
- Only 4.5% of loans in default will qualify for it- that’s just 1 out of 22.5 families that are a minimum of 2 months behind on their mortgage MAY get help from this government sponsored program.
- NONE of the major investors are participating- FANNIE MAE, FREDDIE MAC, FHA, VA are all NOT participating???
- Seems misleading because if you go to this link at "Making Homes Affordable.gov", it appears for appearances sake that just about every “Lender/Bank” (a.k.a. Servicer) IS participating. SO… What’s the deal?
- The deal is like most government programs that cost us tax payers BILLIONS of dollars. It looks good in the media and creates a false sense that the big players are doing something to really help the little guys.
Why if the “Servicers” of the loans are participating but the majority of “Investors” are not IS there such hype out there right now??? …You can thank the media and the Government I suppose…
Why aren’t the investors on board to help??? …… drumroll please….. it’s because IF the investor accepts the government assistance they MUST agree to WAIVE their rights to pursue for a deficiency- in plain English that means they must agree not to go after and SUE the borrower for their loss afterwards!
LUCKILY for us in Arizona, we have laws that do protect people in the majority of cases of such deficiency judgments- please go to our resource tab on this site for the links to our state laws or contact us for more details.
If you don’t, don’t fret! We can and are happy to still help you navigate thru the “normal” Short Sale process and successfully sell your home and help you and your family get a clean slate financially on life.
The Integrity All Star Team is here to help you and anyone you know with their Real Estate needs. Just let us know who you know that is considering giving their home back to their bank and we’ll gladly do everything we can to help them avoid Foreclosure.