"Short Sale" are inceasing....

“Short Sales” are increasing.

Nationwide, Short sales made up 18% of Buy-side transactions in June, 2010. Over all, Short Sales are up 50% from a year ago.

“Short sales are much more complex and time-consuming transactions and agents handling them should be educated on how to assist homeowners in these situations” said RE/MAX Chairman and Co-Founder, Dave Liniger, ABR, CDPE, CRB.
Liniger said, “We’ll see an even greater influx of Short Sales flood the market as people take advantage of the government Home Affordable Foreclosure Alternatives (HAFA) program.
More about HAFA:

The HAFA program is crucial in streamlining the Short Sale process for homeowners, lenders and real estate agents as an alternative to foreclosure. Here are some of the key program guidelines:

1. Lenders must respond to Short Sale Requests within 10 Business days of receipt of the offer package.

2. The seller will be released from all liability for repayment of the primary mortgage debt.

3. Subsequently, the seller is entitled to a relocation incentive of $3,000, which will be deducted from the gross sale proceeds at closing.

4. The lender will be paid $1,500 to cover administrative and processing costs for a Short Sale or deed-in-lieu.

5. The property must be listed with a licensed real estate professional who does regular business in the community where the property is located.

6. The lender is prohibited from requiring, as a condition of approving the Short Sale, a reduction in the agreed-upon real estate commission.