HOW DOES THE HAFA PROGRAM WORK?
How Does HAFA Work
HAFA was introduced to simplify and streamline the short sale process. HAFA accomplishes this by utilizing standardized forms and by setting forth strict timeframes that both the servicer and borrower must adhere to. The following is a 6-step summary of this streamlined process:
1. Servicers must consider HAMP eligible borrower for HAFA within 30 days of the date the borrower:
• Does not qualify for trial period plan
• Does not successfully complete trial period plan
• Is delinquent on HAMP modification by missing at least two consecutive payments
• Requests a short sale or Deed-in-Lieu
2. Servicer must proactively notify the borrower in writing of the availability of a short sale and deed-in-lieu
•Servicer allows borrower 14 days to contact them with interest in these options
•After this timeline servicer has no further obligation to extend the HAFA offer
3. Servicer issues Short Sale Agreement (SSA) along with Request for Approval of Short Sale (RASS) Document
• The servicer will send documents either proactively or at the request of the borrower
4. Once SSA is issued the borrower must sign and return SSA within 14 days of its effective date, along with real estate broker listing agreement and information regarding subordinate liens
• Borrower is allowed 120 calendar days from SSA effective date to obtain a contract
• Can be extended up to one year with servicer approval
5. Within three days following the receipt of an executed purchase offer, the borrower (or listing broker) must submit a completed RASS to the servicer
6. Servicers have 10 days to accept or deny a short sale request (RASS)
Source: Making Home Affordable. Supplemental Directive 09-09 Revised (2010):
https://www.hmpadmin.com/portal/docs/hafa/sd0909r.pdf
Tips To Help Sell Your Home For A Higher Price
Home Seller Information
Staging Your Home
Most home owners who decide to sell their home want to get the highest price possible. In order to do so they should make sure that their home is in the best possible condition. Deferred maintenance is a turn off for buyers, so any problems should taken care of before the home goes on the market.
Staging can make a big difference in the way that potential buyers react to your home. In fact, there are published studies that show that a stages home sells for more. It might take a little effort, but it can yield excellent results.
Once your have accepted an offer from a qualified buyer you are going to have to move. Plan ahead. Get a storage 
box or rent a storage locker. Go through your home and remove EVERYTHING that is not essential to your day-to-day living for the time of hear you will have your home on the market.
Consider this process step in your move to your next home. The less clutter there is the larger your home will look. Leave the minimum number of pictures on the wall, remove all non-essential furniture, clear all counters, and remove unnecessary items from all closets. Most people are shocked to learn how much unnecessary “stuff” that they have collected. It might also be prudent to consider holding a garage sale or just discarding anything that you have not used for the past six months.
Use the check list to help make the best possible first impression every time you have potential buyers coming to view your home.
Pick UP Every Room
Check counters, floors, closets, halls and stairs. Make beds, straighten or remove news papers, magazines, mail, toys, clothing, recreational gear, glasses and dishes. Check the kids rooms again right before the buyers show up.
Turn On Lights
You want you home to be a bright and inviting as possible. Turn on every light in the house, even during the day. Don’t forget storage areas, closets and the utility room.
Open all Window Coverings
Open all window coverings to allow the maximum sunlight to enter your home and to promote views. If there is an eyesore next door you might consider leaving the window covering for that window closed.
Check the Bathrooms
Straighten towels and washcloths, replace with fresh, decorative ones if possible. Clean the sinks and toilet. CLOSE the toilet lid and wipe down counters, mirrors and shower/tub. Air out the room and use air freshener.
Clean the Kitchen
Ensure that all dishes, glasses and cooking utensils are washed and put away. Clean the sink and run the disposal. 
Wipe down all counters and sweep the floor. Empty the trash. It helps if the kitchen smells fresh and clean. Some homeowners bake cookies during a showing—chocolate chip for me please.
Give Buyers Some Space
Buyers are frequently uncomfortable looking at a home when the sellers are there. They feel inhibited and frequently don’t give the home a good look. It is best if the sellers go for a twenty minute drive so that the home gets a proper viewing. At them very least, go visit the neighbors for a little while.
If you are thinking about selling, we will be happy to visit your home, complete a market evaluation and make staging suggestions. There is no cons for our consultation. (916) 337-0658
HAFA (Home Affordable Foreclosure Alternatives) Program Part 5
HAFA (Home Affordable Foreclosure Alternatives) Program. Part 5 How to Apply?
If you feel that you may be qualified for this government program, or if you want to learn if you are qualified, feel free to contact us for clarification. We will need some information from you to make the determination.
Since loans owned or guaranteed by Fannie Mae or Freddie Mac are excluded from HAFA, it would be prudent to determine if your loan falls into one of those two categories. Select the links provided for each. Remember that HAFA only applies to the first trust deed. Seconds or HELOCs do not qualify.
Most major loan servicers have indicated that they will participate in HAFA. If your loan servicer is not one of the major players you can select this link http://makinghomeaffordable.gov/contact_servicer.html and enter your loan servicer’s name to see if they are, in fact, participating.
Once you feel confident that you will qualify you should contact your lender and advise them of you interest in 
participating in HAFA. As an alternative, you may contact us and we will provide you with the necessary forms and assistance in completing those forms.
The Treasury Department advises that participating lenders should be preemptively contacting their distressed homeowners or, at the very least, responding to requests from homeowners; providing a short sale agreement with an outline of the terms and conditions under which a short sale will be approved. Program guidelines expect this notification to take place within 30 days; however, we expect a slower response considering the large volume of loans in default.
Feel free to contact us if you have any questions or if you need assistance. We do no charge for our help.
(916) 337-0658
HAFA (HOME AFFORDABLE FORECLOSURE ALTERNATIVES) PROGRAM VIDEO
This video is a short and easy to understand summary of the new government HAFA (Home Affordable Foreclosure Alternatives) Program. The CDPE (Certified Distressed Property Expert) organization has put this together to try and get the word out to as many dietressed homeowners as possible who may be qualified to participate in this program.
THe program is designed to simplify and speed up the Short Sale and Deed-In-Lieu programs. If you have any questions about the program feel free to contact Mike West by phone at (916) 337-0658 or e-mail at Mike@BMikeWest.com.
If you are qualified this may be the help you have been looking for!
Mike West
Realtor, CDPE, Sr. Loan Consultant
5 Steps To A Fast Sale: What Works Best And What Does Not.
Five Steps To A Fast Sale
Once you have decided to sell your home, whether you list it with us or try and sell it on your own, you will be ahead of the game when your are armed with these FACTS about how homes are sold. Take this quiz to find out the facts.
1) About what percentage of home sales occur as the result of print media advertizing?
A) More than 50%
B) About 20%
C) Less than 5%
2) Indicate the percentage of homes are sold through an Open House?
A) More than 50%
B) About 20%
C) Less than 5%
3) What percentage of homes are sold because of a “For Sale” sign in the yard?
A) More than 50%
B) About 10%
C) Less than 5%
4) How important is the Realtor’s MLS (Multiple Listing Service)? What percent of homes are sold because of exposure in the MLS? 
A) More than 50%
B) About 20%
C) Less than 5%
5) How important ins the Internet in home sales? What percentage of home sales begin on the internet?
A) More than 50%
B) About 20%
C) Less than 5%
And the answers are:
1) Print media results in less than 5% of home sales. Media advertising primarily builds name recognition for the company and listings agents and is used to impress buyers and sellers.
2) Chances are not great that holding an open house will help sell your home. Prospective buyers may tour your home but only about 1% of homes are sold as a result of an open house. Agents hold open an open house to please sellers and prospect for buyers.
3) Property “For Sale” signs generate some calls and about 10% of home sales result from signs. The combination of curb appeal and the sign do work.
4) The Multiple Listing Service is only open to member brokers and Realtors. Members pay substantial fees to remain members.
It is THE MOST EFFECTIVE way of selling a home with over 90% of sales closing as the result of exposure to the MLS. When a Realtor puts a home listing in the MLS that results in thousands of Realtors trying to show and sell your home. This is exposure that a home owner can not get anywhere else on the Internet.
5) Estimates of the percentage of home sales that begin in the Internet range from 83% to 91%. Prospective buyers use the Internet to narrow their search. That is why we provide our listings with exposure to over fourteen property search web sites, including a separate web site with a URL that is the property address, www.YourAddress.com . We include over 30 high quality property photos and a virtual tour, emphasizing property attributes.
We also hold the e-PRO Realtor designation, indicating that we are trained and certified to enhance the Internet exposure for your property. Our photographer on staff ensures that only the highest quality photos are used. This makes a big difference.
Given the facts, where would you put the most effort in marketing your home for a quick sale?