supplemental directive: Warning - Be Careful While Dispensing Advice to Clients About HAMP/HAFA - 01/09/10 06:48 AM
I have been having a very mentally stimulating and enjoyable debate with another AR'er when it dawned on me that this person may intend to advise his clients to do something that could possibly cause harm.  Of course it would not have been done intentionally to cause harm, but out of a misunderstanding.
I would like to issue a warning to Realtor's and Investors alike as well as a heads up to all sellers, that come April 5th, we need to be careful what we advise our seller to do when their servicer calls. 
Now I am aware that there can be changes implemented … (3 comments)

supplemental directive: Here is THE LIST of Lenders participating in MHA, HAMP and HAFA - 12/03/09 12:53 PM
Here you go..  Remember lenders can enter into contract to participate in the programs until 12/31/09, so the list may expand.


supplemental directive: Section Four - Evaluation - 12/02/09 11:39 PM
Section Four - Evaluation
This section has a few twists.  Deadly deadlines!  Once the servicer determines the borrower is eligible for HAFA (based on its own written policy) there are 6 steps the servicers must follow to determine if a SS or DIL will be extended.  I want to find out if the policies written by each servicer are open documents.  Can we get copies?
1. Borrower Solicitation and Response. If the servicer has not already discussed a SS or DIL,  the Servicer MUST proactively notify the borrower in writing of the availability of these options.  Now here is the … (2 comments)

supplemental directive: Section Three - Consideration - 12/02/09 04:32 PM
Section Three - HAFA Considerations
This section outlines what a servicer must do to participate in the HAFA program.  First they need to have developed a written policy (consistent with Investor guidelines) that describes the basis on which the servicer will offer the HAFA program to borrowers.   The servicer can incorporate many factors in this policy, such as local market conditions, timing of pending foreclosures, the  severity of the loss involved and even the borrowers motivation and cooperation.  Remember they already have entered into an agreement with Fannie Mae to participate in the HAMP program.  These policies must be submitted and … (4 comments)

supplemental directive: Section Two - Foreclosure Alternatives - 12/02/09 02:50 PM
Section Two - Foreclosure Alternatives
We already covered what a short sale is in the Background Blog.  So under this program the servicer will allow the borrower to list the property for less than the full amount owed and the net proceeds from the sale are accepted as a short payoff of the mortgage.  The servicer accepts the short payoff in full satisfaction of the total amount due on the first mortgage. Now the short sale must be an arm length transaction. That means a transaction between two otherwise unrelated or affiliated parties.  So you can't have your Grandma buy … (0 comments)

supplemental directive: The Supplemental Directive Background - or Section One - 12/02/09 01:40 PM
Section One - BACKGROUND
We should all be familiar by now with HAMP (Home Affordable Modification Program).  That is the program that was set up to apply uniform loan modification processes to assist eligible borrowers to obtain monthly payments on their 1st mortgages that were affordable.   What has happened (and was expected), is that  some borrowers do not qualify for, default on or choose not to participate in the modification process. 
Hence,  HAFA (Home Affordable Foreclosure Alternatives Program).  HAFA is part of HAMP.  The program provides incentives to servicers and borrowers who choose to go the route of SS (Short Sales) … (2 comments)

supplemental directive: Journey into SUPPLEMENTAL DIRECTIVE 09-09 - 12/02/09 11:33 AM
Well, Here we go.  My good friend Matt sent me these bullets of the program's key guidelines:
Lenders must respond to Short Sale requests within 10 business days of receipt of the offer package. Is this for approval to participate in a short sale, approval of the actual short sale acceptance, ordering the BPO or just contact saying we have your package? The seller will be released from all liability for repayment of the mortgage debt. Is this on both the first and any and all subsequent liens? Subsequently, the seller is entitled to a relocation incentive of $1,500, which will be … (3 comments)

supplemental directive: Lets Break this Down Into Bite Sized Pieces (New Short Sale Guide Lines) - 12/01/09 04:49 PM
Ok, lets break this down into bite sized pieces.  Starting tomorrow I will read the all 43 pages of the Supplemental Directive to 09/09 and blog on each section.  By the time we are done, we will all understand much better the proposed guidelines announced on Monday.
I can't wait to dive in and find out more about the proposed changes to the foreclosure, loan modification and short sale process.  Come with me on this journey by joining this blog.
Check in later tomorrow!


Dawn Uselding

Short Sale Assistant

Manitowoc, WI

More about me…

A New Dawn Real Estate Services, LLC

Address: 10309 Middle Rd, Manitowoc, WI , 54220

Office: (262) 573-6309

Mobile: (262) 573-6309

Email Me

This is a blog about why a short sale negociator is a good investment.



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