I was unable to complete all my payments under the HAMP trial modification plan and would like to pursue a short sale. How will the new program enhancements help me pursue this alternative to foreclosure?
Yes. The Home Affordable Foreclosure Alternative (HAFA) program, which includes short sales and deed-in-lieu of foreclosure, is available for borrowers who are generally eligible for HAMP but do not qualify for or complete a HAMP trial period plan. The Administration will provide additional incentive payments to servicers and double borrower relocation assistance payments to $3,000 in order to encourage greater use of HAFA short-sales and deeds-in-lieu. These options benefit borrowers by avoiding complicated and lengthy foreclosure proceedings and by helping borrowers defer relocation expenses and transition costs as they seek more affordable housing.
