Fannie & Freddie have announced the rules of their own version of the HAFA program.
Currently, many homeowners are ineligible for the government’s HAFA program because their loan is owned by either Fannie Mae or Freddie Mac. With this new program, these homeowners have a set of guidelines and rules that they can turn to when pursuing a short sale or Deed in Lieu of Foreclosure on their home.
This new program is due to roll out August 1st, 2010. It is very similar to the government’s HAFA program.
Some of the highlights are:
- Borrowers must go through the HAMP program before attempting the Fannie/Freddie HAFA program.
- Borrowers will be eligible for a $3000 payment from the closing of the home to help with move out expenses.
- Loan services are not allowed to charge borrowers any fees for participating in the Fannie/Freddie HAFA program.
- Once a borrower qualifies for the Fannie/Freddie HAFA program, the bank orders a BPO immediately so that the borrower will know exactly what amount the bank will accept for the home and can list the home accordingly. No more guessing games with price.
For more differences between the two programs, and more information check out this site and this white paper.
Want to find out if your home in the Phoenix, Glendale, Peoria or Surprise area of Arizona qualifies? Send me an email at Jessica_Bohannon at yahoo dot com.