Understanding HAFA

What is HAFA?

The Home Affordable Foreclosure Alternatives (HAFA) program is a government-sponsored initiative activated on 4/5/2010 that is overseen by the US Treasury Department and administered by Fannie Mae. The primary focus is aiding eligible homeowners by pre-approving short sales before listing and releasing them from future liability for the first mortgage debt

Who is eligible for HAFA?

• The property is the borrower's principal residence
• The mortgage loan is a first lien mortgage originated on or before 1/1/2009
• The mortgage is delinquent or default is reasonably foreseeable
• The current unpaid principal balance is equal to or less than $729,750
• The total monthly mortgage payment exceeds 31 percent of the gross income
• Short sale requested from current lien holder

What is the financial incentive of HAFA?

• Qualified homeowners receive $3,000 in borrower relocation assistance after a short sale (may classify as taxable income - please refer to your tax advisor or CPA)

Is my loan servicer participating in HAFA?

• Check here http://www.makinghomeaffordable.gov/contact_servicer.html

Still have questions or would like to confirm your eligibility for HAFA?

• Call us at 888-210-9838 or email at info@AFC360.com