Who Really qualifies for HAFA

Who really qualifies for HAFA?

At HomeStalkers Real Estate Group, we have two active files that involve HAFA candidates. Both files have been caught in some form of a very ugly vortex. Folks this is SERIOUS business since it involves deep emotions to sellers, buyers and agents. For all those agents dealing in short sales that don’t get emotionally involved, it is probably time to exit the arena of short sales.

Both short sales are being serviced by Bank of America. I bite my tongue when I say this, but BofA has actually been helpful dealing with on these files, the problem is with the HAFA side of the equation. Both files work a little differently, but the result has been the same, a complete nightmare and this is a program to help home owners avoid foreclosure yet our experience is showing the complete opposite and driving them into foreclosure. A HAFA file has to be coordinated with a HAFA servicer. So if a short sale doesn’t involve enough trouble, now we have the HAFA component. One HAFA coordinator (and I say that loosely) is Promise Solutions and the other is Loan Resolution Services. Promise Solutions is a type of government entity. We have been told that Promise Solutions doesn’t receive any extra compensation to close files. They are paid typical wages and don’t seem to have any incentive to close these files. When we call in the morning it sounds like you are waking them up. I can not confirm this, but we believe that the banks need to submit a certain amount of files to Promise as part of the formula which doesn’t surprise us.

Letters originating from BofA in this case have been sent to clients while in the middle of our short sale negotiation stating they might be eligible for HAFA. We have been told from a manager at BofA they sent out 60,000 letters. These letters are sent out randomly with no certain criteria. Now, both our clients that a short sale could have been approved months earlier are in serious jeopardy of going to foreclosure all because they sent in the HAFA paperwork but have no chance of qualifying for the programs and are all stalled in the vortex of HAFA. Even people at BofA say that many of the people sent letters have no chance of qualifying.

The problems are much too deep to totally tackle in one blog, but the problems are similar. Home Owners that receive HAFA paper work and are contemplating a HAFA program in order to gain a few extra bucks, better think long and hard it. It could have serious implications.

If you are thinking about a short sale or would like more information on all this please give us a call at the HomeStalkers Group.

Rick Stalker & Donna Burnett