Fannie Mae and Fredie Mac are implementing changes to their guidelines for DC short sales
Under the new guidelines going into effect, homeowners:
- with a Fannie Mae or Freddie Mac backed mortgage (most conventional loans), will be able to do DC short sales even if they are current on their mortgage if they have a listed hardship such as 1) death of a borrower, 2) divorce or legal separation, 3) illness or disability, or 4) work transfer;
- will be permitted to negotiate a money payment to their lender to be released from future collections of unpaid short sale debt (If you allow us to represent you, we will make sure you are forgiven completely usually without any additional payment).
- who are relocated military personnel will be automatically eligible for DC short sales and will not be obligation to contribute funds to cover any shortfall;
- will not be required to pay more than $6,000 to any 2nd trusts. Previously lenders could try and negotiate more from the homeowner; and
- can under certain circumstances receive up to $3,000 in moving expenses.
New guidelines for lenders:
- must provide a response to your DC short sales within 30 days of receiving your completed short sale offer;
- must provide weekly updates to the homeowner; and
- must provide a final answer on your DC short sales within 60 days of receiving the completed offer.
Once these new rules are fully implemented, the sale of your DC short sales will be smoother than ever. Please let us meet with you to discuss your situation and whether a short sale would be the best option for you. Call Tony McConkey 202-255-1900 to get started.