SIMPLIFYING THE DIFFICULTLoan must meet HAMP eligibility ... Consider HAMP eligible borrowers who do...
Transcript of SIMPLIFYING THE DIFFICULTLoan must meet HAMP eligibility ... Consider HAMP eligible borrowers who do...
2/14/2010
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S I M P L I F Y I N G T H E D I F F I C U L T
ARE YOU READY, WILLING & ABLE?
Marki D. Lemons
S I M P L I F Y I N G T H E D I F F I C U L T
Change is inevitableIf you do not change you will
b
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become
EXTINCT
S I M P L I F Y I N G T H E D I F F I C U L T
•HAFA Guidelines1
•HAFA Forms2
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•Your Arsenal3
•How to Attract4
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S I M P L I F Y I N G T H E D I F F I C U L T
HAFA streamlines industry practices on how short sales and deeds-in-lieu of foreclosure are conducted which allows a homeowner
the opportunity to avoid foreclosure:
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Reduces Bank Owned PropertiesPreserves the home, the neighbors home and community valueMinimizes vacancy and vandalism
S I M P L I F Y I N G T H E D I F F I C U L T
HAFA GoalsProvide a well needed alternative to foreclosures
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Provide tools and guidelines to overcome issues that have historically prevented successful short sales
S I M P L I F Y I N G T H E D I F F I C U L T
NAR HAMP UPDATE
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S I M P L I F Y I N G T H E D I F F I C U L T
Short Sale Sale a home for less than what is owedServicer pre-approves
Deed-In LieuVoluntarily transfer ownership to the servicer
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a minimum acceptable net proceedShort Sale is full satisfaction of the first mortgage
Servicer accepts =full satisfaction of the first mortgage
S I M P L I F Y I N G T H E D I F F I C U L T
EffectiveApril 5, 2010
S I M P L I F Y I N G T H E D I F F I C U L T
Loan must meet HAMP eligibilityServicer must have a written policyBorrower to be evaluated for HAMP prior to
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Borrower to be evaluated for HAMP prior to any consideration being given for HAFAConsider HAMP eligible borrowers who do not successfully complete trail or default on HAMP or other loan modification
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S I M P L I F Y I N G T H E D I F F I C U L T
Before a NOD is filed or a pending foreclosure sale occurs.
Within 30 Days of the date the homeowner:Does not qualify for a trail period planDoesn’t complete a trail period plan
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Doesn t complete a trail period planIs delinquent on a HAMP for 2 consecutive monthsRequest a short sale or DIL
S I M P L I F Y I N G T H E D I F F I C U L T
• Lender Think
•Financial
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contacts homeowner
Contact
•14 DAYS Analysis
Decision
S I M P L I F Y I N G T H E D I F F I C U L T
Step #1
#1
#2• Send a SSA or RASS to homeowner
A fixed dollar amount as a % of CMV or as a
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#3• Borrower signs and return SSA
#4• Sales offer is made
#5• Servicers determines acceptance
% of the list price approved by the servicer
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S I M P L I F Y I N G T H E D I F F I C U L T
Step #2
#1• Determine minimum proceeds
#2
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#3• Borrower signs and return SSA
#4• Sales offer is made
#5• Servicers determines acceptance
S I M P L I F Y I N G T H E D I F F I C U L T
Step #3
Borrower must sign within 14 days
A copy of the listing
#1• Determine minimum proceeds
#2• Send a SSA or RASS to homeowner
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A copy of the listing agreement must accompany
Information provided on subordinate liens
#3
#4• Sales offer is made
#5• Servicers determines acceptance
S I M P L I F Y I N G T H E D I F F I C U L T
Step #4
Within 3 business days of an executed sales
contract lender is to receive the RASS and
#1• Determine minimum Proceeds
#2• Send a SSA or RASS to homeowner
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supporting documentation(sales contract, pre‐approval
letter, status of subordinate liens)
#3• Borrower signs and return SSA
#4
#5• Servicers determines acceptance
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S I M P L I F Y I N G T H E D I F F I C U L T
Step #5
Lender has 10 days of receipt of RASS to determine approval
#1• Determine Minimum Proceeds
#2• Send a SSA or RASS to Homeowner
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Must allow a minimum of 45 days to close
Decision is documented on the RASS and sent to the homeowner
#3• Borrower Signs and return SSA
#4• Sales offer is made
#5
S I M P L I F Y I N G T H E D I F F I C U L T
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S I M P L I F Y I N G T H E D I F F I C U L T
Might Not Work
Improves Financial Situation
Qualifies for a modification
Brings account current
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Fails to make payments per the SSA
Files Bankruptcy and the court declines approval
REALTOR® doesn’t act in Good Faith/Consumer Fraud/Misrepresentation
Change in property condition or value
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S I M P L I F Y I N G T H E D I F F I C U L T
DIL
At the discretion of the lender a deed‐in‐lieu can be offered with full release of debt and waiver of deficiency with no
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ypromissory note
Homeowners must attempt to sale the property first
Deed to be released within 10 days of delivery of the deed
S I M P L I F Y I N G T H E D I F F I C U L T
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S I M P L I F Y I N G T H E D I F F I C U L T
ARSENAL
“AS IS” ADDENDUM
Rider to the
Listing Agreement
Checklist
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Rider to the Sales Contract
Authorization to
Release
HAFA Guidelines &
Forms
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S I M P L I F Y I N G T H E D I F F I C U L T
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Online Off Line
S I M P L I F Y I N G T H E D I F F I C U L T
Blogging
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S I M P L I F Y I N G T H E D I F F I C U L T
Radio
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S I M P L I F Y I N G T H E D I F F I C U L T
Viral Ability
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S I M P L I F Y I N G T H E D I F F I C U L T
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S I M P L I F Y I N G T H E D I F F I C U L T
Direct Mail
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S I M P L I F Y I N G T H E D I F F I C U L T
Take control
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www.makehafawork.com
“You are Ready, Willing & Able”
S I M P L I F Y I N G T H E D I F F I C U L T
Thank you
Marki D. LemonsSpeaker, Trainer & Consultant of Short Sales, Foreclosures & Social Business
ABR, ABRM, ADPR, CDEI, CNE, CRB, CRS, green, QSC, SFR ,SRES, & MBA