According to the U.S. Treasury Department, more than 1.2 million homeowners have received permanent modifications through the Home Affordable Modification Program. The average savings being about $547.00 per month on the mortgage payment. This accounts for almost 40% savings from the previous payment average.
For those that have received principal reductions, there has been granted, according to the Treasury, over 12.1 billion reduction in principal. However, short sales are up. The Home Affordable Modification Program, or HAMP, showed less applications by September 2013 for loan modifications, then relief sought through short sale or deed in lieu of foreclosure assistance. The HAFA assistance program, that grants the majority of homeowners that short sale their primary residence, monetary incentives and a deficiency waiver of their balance, saw an increase in applications through September of this year.
As of September, servicers completed more than 226,000 HAFA transactions, up from the same time last year. This may be caused by the fact that the properties are upside down, and the years of not paying for mortgages, has caused arrears to have increased significantly. In a short sale, all arrears and balances are waived under HAFA, when it is the homeowners primary residence, or was for months preceding the application.
The top three states for HAFA short sale applications are California, Florida and Arizona.
A short sale application is easy and when the entire negotiation is handled by competent attorney and staff, the process is quick and seamless. The lender will also pay all closing costs, and taxes and insurance. As well, as off the homeowner under HAFA an incentive depending on certain criteria, which can be as much as $35,000.00
Call us today for a free consultation to see if you qualify for a HAFA short sale or loan modification. We have the start of the art programs that can qualify you to keep your home under HAMP or short sale it under HAFA.
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LAW OFFICES OF JACQUELINE A. SALCINES 706 S. DIXIE HIGHWAY SECOND FLOOR CORAL GABLES, FL 33146 TEL. (305) 564-9255 OR EMAIL US DIRECTLY: J.SALCINES@SALCINESLAW.COM