- Which Lenders Participating in HAFA?
Forth Hoyt, Sacramento Expert HAFA Short Sale Agent Reports: Not all banks are supporting HAFA, are you wondering if your bank is one participating in HAFA? Looking For a List of Participating HAFA Banks?Find out if your lenders participate with HAFA below.
Folsom short sales, El Dorado Hills short sales and short sales in the surrounding Sacramento areas are where most of my real estate signs are these days…
As a Sacramento area short sale specialist Certified many, many times, and team leader of a highly trained group of short sale experts, we answer many many questions daily from both short sale buyers and homeowners who need to short sale a home in Sacramento.
Lately, with so much press about the new Government HAFA program, (which is the short sale add-on the the HAMP loan modification program) many of the questions are about which banks are participating and how to find out if the program applies to a particular propery.
Lenders and loan servicers participating in HAFA (hafa participating lenders) must sign a servicer participation agreement with Fannie Mae — the program administrator and financial agent representing the United States in this case — to participate in HAMP by October 3, 2010 (the previous deadline was December 31, 2009. This was updated March 26, 2010)1 Therefore, most lenders are participating and those who are not have the opportunity to at any time. Lenders are developing comprehensive programs in order to prepare for the expected flood of applications for short sales and deeds-in-lieu of foreclosure that HAFA will unleash.
There are several new government sponsored anti-foreclosure programs:
Government Programs… Which Do You Qualify For?
Here’s a Quick List of HAFA participating lenders:
Bank of America
- Bank of America announced in March its commitment to participate in HAFA when it activates. It has been preparing for a more streamlined process for months though its support of HAMP
- Bank of America’s short sale processor Equator announced the launch of a brand-new best practices software work flow solutions directly related to HAFA2
- Bank of America’s HAFA website gives homeowners details on their support of the program
- Citibank is participating in HAMP, which is a requirement for participating in HAFA
- CitiMortgage has launched a pilot Foreclosure Alternatives Program that assists its borrowers in avoiding foreclosure by offering a deed-in-lieu that allows homeowners to remain in their homes for six months after they agree to sign over their property deeds to CitiMortgage. The pilot program offers relocation counseling and a minimun of $1,000 in relocation assistance. Currently the program is available in Texas, Florida, Illinois, Michigan, New Jersey, and Ohio.3
JP Morgan Chase
GMAC Financial Services
- GMAC has started a program to preemptively contact borrowers who are not eligible for loan modifications under HAMP and GMAC is offering alternatives through HAFA and claims a three-day turnaround on short sale applications4
- Wachovia is participating in HAMP, which is a requirement for participating in HAFA
- Wells Fargo is participating in HAMP, which is a requirement for participating in HAFA
- Wells Fargo has been ramping up efforts to assist homeowners by actively contacting those who are facing hardships5
- Wells Fargo announced on April 14, 2010 their support of HAFA and ongoing support for foreclosure avoidance programs. Wells Fargo has more than 17,400 U.S. staff focused on home retention and foreclosure avoidance.6
NATIONAL PARTICIPATING SERVICERS
Currently, the HAFA Program has not been activated. Therefore, there is not yet an official list of participating servicers. However, servicers that participate in HAFA are also participating in HAMP. For a full list of servicers participating in HAMP, visit Making Home Affordable’s Participating Servicers List.