FHFA Aims to Make Short Sale Process Easier
On Tuesday, the Federal Housing Finance Agency announced a streamlined short sale process, one that will make it easier for “lenders and servicers to quickly and easily qualify eligible borrowers for a short sale.” (In a short sale, the lender agrees to accept less than the full amount of the mortgage principal as payment.)
The FHFA’s new guidelines also open up the short sale option to those who are current on their payments but are facing a hardship like divorce, disability, relocation or the death of a co-borrower. Other changes included clearer guidelines that will make it easier for lenders to identify candidates. The new guidelines go into effect on November 1st.
From the press release:
“These new guidelines demonstrate FHFA’s and Fannie Mae’s and Freddie Mac’s commitment to enhancing and streamlining processes to avoid foreclosure and stabilize communities,” said
FHFA Acting Director Edward J. DeMarco. “The new standard short sale program will also provide relief to those underwater borrowers who need to relocate more than 50 miles for a job.”
The new guidelines are part of an effort by the FHFA to keep more homeowners from having to face foreclosure. Recently, the agnecy also shortened the time frame between submitting an offer and hearing back from lenders. Previously, that process could take several months; as of June 2012, lenders have to respond within 30 days.
See other articles related to: fhfa, short sale, short sales
This article originally published at https://dc.urbanturf.com/articles/blog/fhfa_aims_to_make_short_sale_process_easier/5938.
Most Popular... This Week • Last 30 Days • Ever
In this article, UrbanTurf will explain what special assessments are, how they work, ... read »
Plans are moving forward at the site of a long-planned project in Ivy City, however w... read »
Nearly 1,400 residential units are on the boards around Union Market, about the same ... read »
Up 8% year-over-year, it is the first time that prices have exceeded $800,000 for det... read »
If there was ever a place where the old adage “one man’s trash is another man’s... read »
- What Are Special Assessments in Condo Buildings and What Do They Cover?
- Douglas Development Pitches Large Warehouse For New City Site Along New York Avenue
- Hotels, A Public Park and The 1,400 Units In The Works For Union Market
- The Price For A House in The DC Area Hit A New High in April
- Tile, Furniture, Appliances & (Much) More -- The Local Warehouse Chock Full of Salvaged Home Goods
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!
First-Timer Primers
Intro guides for first-time home buyers
Unique Spaces
Awesome and unusual real estate from across the DC Metro