Did You KNOW???
·If you Short Sale your home, you may be
eligible to buy another home in 2 years.
(Foreclosure leaves you unable to buy a home
for 7 years!)
·Primary homes currently DO NOT get a 1099
Tax Form.
·Bank pays Commissions, NOT YOU!!!
HAFA – Home Affordable Foreclosure Alternatives
As part of the Marking Home Affordable plan, President Obama’s government administration announced the JAFA short sale program on November 30, 2009 with new incentives for home owners lenders, and servicers who work through the short sale process. This new program, HAFA, went into effect on April 5th 2010. Not only are monetary incentives given, but the HAFA program limits the response time a bank is allowed and also requires that the lender waives the right to pursue a deficiency judgment.
HAFA is ideal for borrowers who:
Cannot qualify for a trial loan modification.
·Did not successfully complete the trial loan
modification.
·Missed two or more payments consecutively
during the trial modification process.
·Request a short sale or deed-in-lieu of
foreclosure.
Cape Coral Short Sale Package
So you are thinking about listing your house as a short sale in Cape Coral and you’d like to know what documents your bank will ask for?
Most banks these days are asking for the following list. Keep in mind that some banks ask for more and some for less but this will provide you with a general idea of what will be required of you in order to submit a short sale package to your lender or lenders for review.
·Recent statement from each lender so we can verify
your account #s and current balances/delinquencies.
·Any liens or past due HOA dues, or other fees that
will need to be paid at closing.
·Hardship Letter – this must detail what happened to
you to create a hardship where you can no longer
afford to keep your Cape Coral house or property
·Financial Statement – this will detail all of your
monthly income and monthly obligations. We have a
generic form we can provide to you or some lenders
prefer to have this on their own form.
·Authorization to Release – this will give us
permission to speak with your lender in regards to
your file. We handle all of the submission and follow
up for you. Many lenders are now requesting
authorizations to speak with your other lender as
well.
·Last 2 year’s tax returns - ALL Pages; and if you
haven’t filed for some reason they’ll need some sort
of explanation from you or your accountant. Also
keep in mind that page 2 of the 1040 must be signed
by all parties. If you e-filed they still want you to sign
the copy to confirm that you are agreeing that the
copy you are signing and sending to them is the one
you actually filed. On top of that most lenders are
now requiring a 4506-T which allows them access to
pull your tax records. They do this to compare to
make sure you are sending in the original copy. If
you have filed an extension for the previous year
they’ll most likely ask to see your extension and
any/all W-2s or 1099s from the previous year and if
self-employed a Profit and Loss Statement.
Our goal is to provide HOMEOWNERS with alternative options to foreclosure and bankruptcy, help facilitate the short sale process, and help BUYERS find their next home. We strive on providing our clients with excellent service during this difficult and frustrating process.
Today, nearly 1 out of every 6 homewoners in America is behind on mortgage payments. These are tough and frustrating times. Now more than ever, it's important to identify your options. Foreclosure can be avoided, your credit can be saved, and your financial future can be salvaged.
·Last 2-3 month’s bank statements – ALL Pages from
ALL Accounts! This is very important. You must
include statements from every account you have.
·Last Quarter’s retirement or other investment account
statements - again ALL Pages from ALL Accounts
will be requested.
·Last 1-2 month’s paycheck stubs – for ALL borrowers
from ALL jobs
·Some additional documents that may be required for
certain programs (such as HAFA short sales):
Proof of residency if you are still residing the home
– recent utility bill works great for this
·Some lenders have different requirements and
additional in-house forms that you will need to
complete as well. To expedite the process let us
know up-front who your lender(s) is/are and we will
send you the proper forms from the beginning so you
don’t end up with so much paperwork to fill out.