Title Transfer requirement change:
- The buyer is prohibited from selling the property for any sales price for a period of 30 days from the date of the deed.
- After a 30 day period, and until 90 days from the date of the deed, the buyer is further prohibited from selling the property for a sales price greater than 120% of the short sale price.
Here is their example on how to calculate the 120%:
-Purchase Price is $100,000.00
-120% of the purchase price would be $100,000.00 x 1.2 = $120,000.00
Relocation Assistance changes: The borrower/seller may be entitled to an incentive payment of $3,000 from Fannie Mae / Freddie Mac to assist with relocation expenses following successful completion of a short sale unless:
- The borrower/seller is required to contribute funds or execute a promissory note (this would be HIGHLY unlikely in California since legislation has prohibited that practice).
- The borrower has Permanent Change of Station (PCS) orders and receives a Dislocation Allowance (DLA) or other government relocation assistance.
- The servicer has knowledge that the borrower is receiving relocation assistance from another source other than the servicer. If the borrower receives relocation assistance from a source other than Fannie Mae / Freddie Mac or the Servicer, the difference in the relocation assistance amount up to the $3,000 incentive maximum may be provided. If the borrower will receive relocation assistance from a source other than Fannie Mae / Freddie Mac or the Servicer and the amount is equal to or greater than $3,000, no relocation incentive will be provided.