The Home Affordable Foreclosure Alternatives (HAFA) Program

Posted on: April 6, 2017 at 1:13 pm

Before letting the bank foreclose on your property, seek the advice of an attorney at FL Legal Group regarding your options in a short sale.  You may be eligible to receive cash for keys under the HAFA program.


A foreclosure are still being filed in the Tampa, St. Petersburg and Clearwater area. However, the Home Affordable Foreclosure Alternatives (HAFA) Program has been designed as an alternative to foreclosure for homeowners that could transition you into more affordable housing.  If you are struggling to make mortgage payments, HAFA may be an option for you. FL Legal Group, practices in the areas of foreclosure defense, short sale, and loan modifications through bankruptcy.  The attorneys at the firm can help you determine whether you are eligible for HAMP or HAFA.


What is HAFA?

HAFA provides property owners with two foreclosure alternatives: a short sale or a Deed-in-Lieu of foreclosure. In a short sale, property owners pay the bank back less that what they owe on their mortgage. This option lessens fees and costs to both the creditor and borrower. In a Deed-in-Lieu, the bank allows you give the title back, transferring ownership back to them (“Cash for keys”). The principal advantage to the borrower is that it immediately releases him/her from all responsibility and personal indebtedness associated with the property.  FL Legal Group will evaluate your current financial status and determine whether either option is viable for you and your family.


What are the benefits of HAFA?

  • Waiver of Deficiency, which releases you from the remaining balance of the mortgage debt.  Meaning, the bank cannot collect the difference between the short sale price and your mortgage debt.
  • The Bank stands in your shoes to accept, reject or counteroffer the current contract price.
  • Your credit score is affected less than with traditional foreclosures and short sales.
  • HAFA may provide you with $1,000 to $10,000 in relocation assistance.


How do I know if I am eligible for HAFA?

FL Legal Group can assist by determining your eligibility for HAFA. You may be eligible for HAFA if you meet all of the following criteria:

  • The Property is principal residence.
  • You have a documented financial hardship.
  • Mortgage originated before Jan. 1, 2009.
  • Mortgage is owned or guaranteed by Fannie Mae or Freddie Mac.
  • Borrower’s total monthly housing payment exceeds 31 percent of gross income.
  • Unpaid principal does not exceed $729,750


Real Estate Attorney Nicki Fernandez Asmer at FL Legal Group can help you determine if HAFA is right for you. FL Legal Group will ensure that you have been considered for other options to keep your home before moving forward with HAFA. The sooner you seek help, the more options you’ll have! Call FL Legal Group today 800-984-9951.


FL Legal Group serves those in Tampa, New Tampa, Oldsmar, Lutz, Clearwater, Largo, Seminole and St. Petersburg.

Author: Nicki Asmer
Foreclosure ||