Home Affordable Foreclosure Alternatives Program (HAFA)

The U.S. Treasury Department introduced the Home Affordable Foreclosure Alternatives program, also called HAFA, in 2009 to assist homeowners in exiting their homes with grace and dignity. HAFA enables homeowners to successfully complete short sales and deed-in-lieu resolution of their loans. The program started in 2010 and is currently scheduled to sunset by December 31, 2013. While the Homeowner Affordable Refinance Program was recently extended until December 31, 2015, HAFA is set to expire this year.


Artificially inflated mortgage payments can get in the way of life’s necessities and your financial well-being. While deed-in-lieu is a rarity in the state of California, we have literally completed 100s of short sales on behalf of our customers. In 2011 the Treasury Department revamped the requirements for HAFA and loosened certain restrictions. HAFA is available for loans that are owned or guaranteed by Fannie Mae and Freddie Mac, as well as over 100 HAMP participating mortgage servicers.  The current HAFA eligibility requirements* are as follows:


-You have a documented financial hardship.

-You have not purchased a new house within the last 12 months.

-Your first mortgage is less than $729,750.

-You obtained your mortgage on or before January 1, 2009.

-You must not have been convicted within the last 10 years of felony larceny, theft, fraud, forgery, money laundering or tax evasion in connection with a mortgage or real estate transaction.

*Eligibility criteria are presented strictly for guidance. Contact us so we can assess if you qualify for HAFA.


In addition to avoiding foreclosure, the HAFA program may also provide you with $3,000 in relocation assistance once your short sale complete. Check to see if this is a good fit for you today, call Upside Down CA at (877)-442-4577 right away!