Forget about the hassles of HAFA, homeowners looking for payday at the end of their short sale might consider that several banks continue to actively offer generous short sale incentives or have trial programs in progress.
The bank offer these guideline based incentives not out of generosity. Rather it makes more financial sense for the banks and investors to offer hardship money to short sale sellers than to take on a costly foreclosure.
It’s difficult to keep track of the incentives from week to week. Some banks try out incentive programs, then they disappear. We compiled a rough overview of short sale incentives. Be sure to check with any bank before assuming anything.
Chase refuses to offer guidelines or exact amounts and our Chase connections say, “It is an internal process conducted on selective basis”. We have heard about an agent in California who said that he closed a short sale with Chase where the borrower received $30,000 at closing for cooperating with the short sale. That incentive rates as an extreme amount.
We have heard rumors that Bank of America will offer an incentive program for defaulting homeowners in California to short sell their homes instead of enduring a foreclosure.
Citi continues to dole out an average incentive of $12,000 for borrowers in cases where Citi owns the loan.
Wells Fargo has been off and on (right now “off”) with its “enhanced financial relocation assistance offers.” They had offered as much as $10,000 or $20,000 to certain borrowers who choose to go through with a short sale.
Interested in other banks?
Write us and we’ll see what we can find out.