Government Short Sale Program

Government Short Sale Program in Tucson – HAFA – Help for homeowners

Implemented in April of 2010 HAFA is a Government initiated short sale program. This is a new government program that is designed to help homeowners who are facing numerous hardships including financial. Basically what this program offers is the following.

  1. The homeowner will be able to walk away from the property free and clear as well as not owe anything back to the bank…ever.
  2. The second thing is that the homeowner will be gifted $3000.00 dollars at the sale of the property for relocation and moving expenses.

There are two different main aspects to this unique program. Those that are for loans derived form Fannie Mae and Freddy Mac and of course those that are not. In order for a Tucson homeowner needing help to get into this program there is criteria they must meet.

  1. This is for primary residences only, this program does not apply to investors.
  2. The loan must have been obtained before 2009.
  3. You must be late on your payment or anticipate that you will be late soon.
  4. Your loan amount must be less than $729,000 dollars.
  5. Your total mortgage payment needs to exceed 31% of your household income. (don’t worry about this aspect as we can define this for you in our initial consultation.)
  6. The homeowner has to request a short sale with their bank or has tried a loan mod and failed.

If you meet all of the listed criteria then there is a an excellent chance you will be eligible for this program. You would then not have to worry about owing any money back to the bank as well as be eligible to the $3000.00 dollar relocation assistance.

The final decision of course ends with the bank. For Fannie Mae and Freddie Mac type loans it is a mandatory or a required protocol that they do this for Tucson homeowners. It is our experience that we have seen most of the major banks do work with this government program and we have had a great deal of success doing these. Fortunately this is a great system and program that is working now for people!

We work hard to get the majority of our clients in to the HAFA program. However this program is quite complicated from an implementation aspect. The good majority of Tucson Realtors do not know all of the nuances to this program or even know what HAFA stands for. Most agents in Tucson do not know the proper government paperwork that needs to be submitted either. This can really hinder your chances of qualifying dramatically. It is in your best interest to understand this and work with an Realtor that is certified to handle these government short sale programs. Our processors are CDPE certified to work with HAFA short sales thru the Arizona Department of real estate. We have all of the classes under our belt and are quite familiar with all aspects of the HAFA guidelines. Not only do we practice this but teach other agents as well.

In cases the bank will say “NO” you are not qualified to do a HAFA short sale. And that is ok because you can still go thru wtih a traditional short sale. What this means is that you will not receive that $3000 dollars at closing for your moving expenses and we will also have to negotiate with your bank for the deficiency release. This part really comes down to how good your Agent is at negotiating that with the bank. Please call us for a free 1 hour consultation at (520) 309-9131.