In our Ask the Expert Section, we recently received the following question from Janie, she asks, “I’ve been thinking about doing a short sale on my Knoxville home. Over the past year, I’ve gone through a divorce, lost my job and had difficulty making my monthly mortgage payments. I recently found a new job, but am not making what I previously was. I’ve tried talking to my lender and they suggested I consider doing a short sale to avoid foreclosure. I’ve heard about lenders offering incentives to homeowners who opt to do short sale. How do I know if I will qualify for relocation assistance?”
There are some lenders who are offering relocation assistance or other incentives to homeowners who do a short sale on their Knoxville home. The best way to know if you qualify for relocation assistance is to talk to your lender. Every short situation is different and every lender has its requirements about who would qualify for relocation and the amount they would receive.
Here are a few lenders that are offering relocation incentives to Knoxville homeowners who opt to do short sales:
Home Affordable Foreclosure Alternative [HAFA]:
-Seller receives $3,000 for relocation after closing
-Applies to short sales and deed-in-lieu of foreclosure
-Fannie Mae and Freddie Mac both participate
Bank of America Cooperative Program
-Bank of America piloted a program in 2011 in Florida to offer incentives to distressed homeowners who chose to do a short sale in order to avoid foreclosure.
-The incentive amount is based on 5% of the unpaid mortgage balance with the minimum being $5,000 and the maximum being $20,000
-Limited to certain states, like Florida.
-Applies to homeowners to do a short sale or deed-in-lieu of foreclosure.
-In some cases they have payed distressed homeowners any where from $10,000 to $20,000 to do a short sale in order to avoid foreclosure
I’ve assisted many Knoxville homeowners explore their alternatives to avoid foreclosure and negotiated many successful Knoxville short sales. Please let me know if there anyway that I can assist you. I’d be more than happy to sit down with you and explore you options to avoid foreclosure on your Knoxville home. All of my services are done at no cost to you. You can give me a call at 865-696-9002 or send an email to [email protected].