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justme
2010 Aug 4, 1:11am
From what I can tell, HAFA is a streamlined short-sale program that involves some relatively small financial incentives for the 1st and 2nd line holders to approve the short sale.
http://www.realtor.org/government_affairs/short_sales_hafa
Given that this is by nature a short sale, it does not seem unreasonable that the lender(s) (Wells Fargo in this case) is interested in knowing about the marketing of the house, such as the foot traffic it has received. One of the problems with short sales is that sellers and agents sometime try to avoid open market exposure in order to steer the deal to a relative or other non-arms-length buyer in order to defraud the lender. The bank is probaly just checking that the house has been properly exposed on the market.
Perhaps you can check the fine print and see whether it says something about the bank requiring to be informed?
Here are some cut/paste details of HAFA, per the link above:
HAFA provides incentives in connection with a short sale or a deed-in-lieu of foreclosure (DIL) used to avoid foreclosure on a loan eligible for modification under the HAMP program. Servicers participating in HAMP are also required to comply with HAFA. A list of servicers participating in HAMP (including HAFA) is available at: www.makinghomeaffordable.com/contact_servicer.html.
HAFA Provisions
Complements HAMP by providing a viable alternative for borrowers (the current homeowners) who are HAMP eligible but nevertheless unable to keep their home.
Uses borrower financial and hardship information already collected in connection with consideration of a loan modification.
Allows borrowers to receive pre-approved short sales terms before listing the property (including the minimum acceptable net proceeds).
Requires borrowers to be fully released from future liability for the first mortgage debt (no cash contribution, promissory note, or deficiency judgment is allowed).
Uses standard processes, documents, and timeframes/deadlines.
Provides the following financial incentives:
$3,000 for borrower relocation assistance;
$1,500 for servicers to cover administrative and processing costs;
Up to $2,000 for investors who allow a total of up to $6,000 in short sale proceeds to be distributed to subordinate lien holders, on a one-for-three matching basis.
During the past year and a half we have been battling foreclosure, which has been brought about because of unemployment that has extended for 33 months. We have entered the HAFA program instead of proceeding with foreclosure. We had difficulty in getting approval from both the servicer and lender to enter the HAFA program even though it was supposed to be offered to those who could not complete the HAMP program. The house has now been on the market for slightly more than a month. Appointments for showing the house are coordinated through Centralized Showing Service (CSS). A week ago a realtor made an appointment through Centralized Showing Service for Saturday evening between the hours of 6:30 and 8:00. This realtor had previously been through the house with the same client earlier in the week. Just before 8:00 pm arrived when the realtor had not shown up, we decided to call CSS to see if the realtor had cancelled. Imagine our shock when we dialed the phone number for CSS but instead got a recording for a Wells Fargo message machine. Thinking that we had incorrectly dialed the number, we attempted the call two more times, each time we reached the Wells Fargo message machine. Wells Fargo is the servicer for our mortgage. When we later called the same number we were connected to a message for CSS, not Wells Fargo. The realtor did show up at 8:00 pm with the client. When we told the realtor about the unexplained phone message that we encountered, she and her client quickly turned and left. She left so abruptly that I did not have an opportunity to tell her that they were still welcome to come in and see the house. What gives here? Do you think that CSS is keeping Wells Fargo informed of who tours our home or that maybe Wells Fargo is even trying to buy our home behind our backs? This realtor has not been here since.
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