It is clear that homeowners are putting pressure on the government and the government is finally starting to lean on the banks. This change is a great program for homeowners that only have one lien holder. Working with a Short Sale Expert will further increase the success.
Here are some highlights from a nice article in the Miami Herald regarding the guideline changes.
10-day limit on short sales may spur housing market
Highlights are:
…. Homeowners stuck while banks mull whether to approve short sales could benefit from new federal guidelines that give lenders a 10-day limit to respond to offers…..
Aside from imposing a 10-day deadline, the Treasury rules call for sellers to receive $1,500 moving allowances, and the sellers will not have to repay any of the debt.
Also, lenders will get $1,000 to cover administrative and processing costs, while investors owning the mortgages will receive a maximum $1,000 for allowing up to $3,000 in short sale proceeds to be distributed to less senior lenders.
AFFECTED BANKS
The 83 loan servicers participating in the Obama Administration's Home Affordable Modification Program, including Bank of America and JPMorgan Chase, are required to follow these guidelines for all borrowers who request short sales or who did not complete loan modifications.
The rules do not specifically apply to loans guaranteed by Fannie Mae or Freddie Mac, which represent about half of all U.S. mortgage debt. The government-run mortgage companies are working to finalize their guidelines.
Click here for the complete article.

