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
It has been a good start to the year for high-priced homes in the DC region.... read »
Roadside Development filed a sketch plan with Montgomery County this month for the 30... read »
The Matthew is located on 9th Street, overlooking the iconic Naylor Court and neighbo... read »
Dan Snyder donates house to charity; DC records priciest building sale since 2022; an... read »
This week's Best New Listings include an award-winning craftsman, a condo in a former... read »
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