private loan after short sale

No legal ramifications.

If the short sale was approved by the lender, you should have a letter from the lender approving the short sale and stating in that letter you owe nothing after the short sale. The buyer could not have gotten a mortagge unless the short sale approval letter stated you owe nothing after the short sale.

Hi mednurse,

Immediately after a short sale, you may not be able to qualify for a loan. You may have to wait for 2-3 years in order to qualify for a loan after a short sale. In the meanwhile, you may take steps to improve your credit score and financial situation. A short sale normally lowers the credit score by 80-100 points.

Thanks

Thank you so much for your responses. I was referring to a mortgage from a private individual. If bank letter is in hand, the bank can't come back and cause problems???

Hi mednurse!

Welcome to forums!

If the bank had already declared that it won't come after you for the deficient balance, then they won't cause any problem if you buy a property.

Feel free to ask if you've further queries.

Sussane