Short Sales Getting a Little Easier

Hello from Crested Butte,

The Obama Administration’s Making Home Affordable Program includes opportunities to modify or refinance your mortgage to make your monthly payments more affordable. It also includes the Home Affordable Foreclosure Alternatives Program for homeowners who are interested in a short sale or deed-in-lieu of foreclosure.

Last week the Treasury Dept. changed the rules to make short sales easier.  The Fed’s homeowner website, www.MakingHomeAffordable.gov, provides detailed information and resources about these programs. Through this website, homeowners can also connect with free HUD-approved counseling organizations, locate free events in their area, find the application documents necessary to apply for the Making Home Affordable Program, as well as find answers to frequently asked questions, and much more.

Here are the primary changes to HAFA:

1. Those seeking a short sale must get an answer within 30 days
2. Servicers are no longer required to verify a borrower’s financial information
3. Servicers are no longer required to determine if the debt-to-income exceeds 31%
4. Second lien holders no longer must accept 6% of the unpaid balance – hopefully this will eliminate the fraud we exposed last year

Overall, these changes should help expedite short sales, which is good news for home owners, realtors, investors and ultimately the banks.

Thanks for visiting today. If you have any questions about Crested Butte Colorado short sale opportunities, feel free to contact me anytime.

Channing Boucher
970-596-3228

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