Published September 18, 2012
2011 and 2012 may well go down in history as “the years of the short sale.” Through the first six months of 2012, Fannie Mae had completed 38,717 short sales, and in 2011 it completed 70,025 total.
If you are in a situation where you owe more on your mortgage than your home is currently worth, chances are you have at least thought about short selling your house.
Recently the Federal Housing Finance Agency announced that both Fannie Mae and Freddie Mac are issuing new guidelines for mortgage servicers that will essentially consolidate all short sale programs into one streamlined program.
These updated short sale program rules will allow lenders to qualify someone for a short sale, and homeowners will more easily be able to tell if they are eligible for a short sale.
New short sale guideline highlights
Under the new guidelines going into effect Nov. 1:
New guidelines for lenders
The FHFA also recently announced that lenders:
Combined these new short sale guidelines seem to indicate that homeowners who are faced with the difficulty of short selling a home will have a smoother transaction than ever before.
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Justin McHood is America’s Mortgage Commentator and lives in the Phoenix, Arizona area. You can find Justin on Facebook, Twitter, and LinkedIn. He is happy to answer any mortgage-related questions that you may have.