The Treasury Department’s decision to raise the amount servicers can pay second-mortgage holders for a lien release should give its short sales program a boost, according to an industry expert.Second-lien holders can veto any short sale so Treasury raised the buyout limit by $2,500 to $8,500 in March along with other improvements to its Home Affordable Foreclosure Alternatives (HAFA) program.

“HAFA is really a nice program at this point,” said Travis Olsen, co-president of Loan Resolution Corp.

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