(MoneyWatch) Bank of America (BAC) is adding to its foreclosure prevention arsenal, according to a press release issued Tuesday by the lender. In the release, Bank of America announces the launch of a nationwide program that offers delinquent borrowers increased assistance with relocation expenses upon the completion of a qualifying short sale.
The program is based on a similar one the lender tested in Florida last
Qualifying Bank of America borrowers could receive anywhere from $2,500 to
$30,000 in cash upon the close of a short sale. The amount of assistance
provided under the new program is determined on a case-by-case basis, taking
into consideration the value of the home, amount owed and other considerations
not clarified in the press release.
"Bank of America is committed to providing alternatives to foreclosure
whenever possible," Bob Hora, home transition services executive for Bank of
America, said in the press release. "This program can help customers make a
planned transition from ownership when home retention options have been
exhausted or they have made a decision not to keep the home."
The news comes one week after Bank of America announced it was reaching out
to underwater homeowners who could be eligible for principal reductions.
To qualify for the relocation assistance payments under the new program, the
seller must obtain a pre-approved sale price from the bank before submitting a
purchase offer. The short sale must be initiated by the end of the year and
close by Sept. 26, 2013.
Some short sales that have already started but have not yet closed may also
be eligible for relocation assistance. The program is currently only available
to borrowers with mortgages owned and serviced by Bank of America.
Relocation assistance is available nationally through Bank of America, but
the lender anticipates the greatest response from borrowers in California,
Nevada, Arizona, Florida and the other states hit hardest by the burst of the
If you believe you're eligible for relocation assistance and would like to
learn more about short sale incentives, call Bank of America's home loan
servicing hotline at 1-877-459-2852.
For more information about the government's foreclosure settlement, go to NationalMortgageSettlement.com. If you're a homeowner and have
questions about whether you qualify for a loan modification or refinancing under
the Home Affordable Refinance Program (also known as HARP 2.0), contact the
Homeowner's HOPE hotline at 1-888-995-HOPE.
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If you have any questions about a Short Sale, Please feel free to contact me by email at firstname.lastname@example.org or, if you prefer, you can call me at 770-875-4268.
Thanks for reading this, Bion Grady.
Bion is a Real Estate Agent at Maximum One Realty Greater Atlanta.