Lenders adopt new federal Home Affordable Foreclosure Alternative (HAFA) guidelines for short sales
Josh Talayka | August 6, 2010
The federal government’s guidelines for standardizing short sales have been in effect since April 5, 2010. These guidelines are an addition to Obama’s Making Home Affordable program. The new HAFA program is designed to offer an alternative solution in the form of a standardized short sale for homeowner’s who meet minimum eligibility for the Home Affordable Modification Program (HAMP), but are still unable or unwilling to work out a plan to stay in their home. The program offers cash incentives to borrowers who participate and ensure any remaining debt is forgiven.