The Federal Housing Finance Agency has released their updated requirements for Short Sales. Servicers of Fannie and Freddie loans will be allowed to approve short sales for borrowers with severe financial hardship with limited documentation, provide borrowers who are current on their loan the option for a short sale if they face a financial hardship such as divorce, long distance employment transfer, or a severe disability, and provide valuation guidance to real estate agents early on in the short sale process.

Servicers are required to implement the changes by Nov. 1, 2012.

For the full release, see the FHFA’s News Release.

As always, for more information, please do contact me.

Thank you,

Matt