Last week the Treasury Department unveiled new rules aimed at speeding up the ‘short sale’s’ process. To qualify: The property must be the homeowner’s principle residence. The homeowner is delinquent on the mortgage or default looks likely. The loan was made before January 1, 2009 and is less than $729,750. The borrowers’ total monthly mortgage payment exceeds 31 percent of their before tax income.
Mortgage companies have unjtil April 5, 2010 to launch the program, meaning no relief for home buyers, home sellers or real estate professionals currently entangled in deals. Critics say this is a major shortcoming, among others.
Will this new program get the job done? What other steps need to be taken now?
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