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How long after a short sale can I buy a home?

Posted on: 06th Jul, 2008 10:38 am
With much remorse, I'm closing the short sale on my condo at the end of this month. I don't have to tell you how much of a hassle it has been.

I've heard and read a lot of conflicting information about the time line for purchasing another property. I know there are a lot of lenders on this site; what's the real scoop on how soon I can buy?

I need to get something I can afford as soon as possible; the mortgage interest is the only thing I can deduct, and I'll be taking a double-whammy tax-wise next year.

Thanks,

:(
I had to do a short sale as a result of a divorce. The sale closed june 2009. My credit scores varies from 725 up to 800, depending on the agency. Is there any length of time I would need to wait to apply for a loan to purchase another home?
Posted on: 24th Jun, 2010 10:05 pm
I sold my home through a short sale. I was at the signing and everything. All of the documents I received from lender reported the debt paid in full and during the sale referred to it as a "short pay off," not once as a foreclosure. My credit record calls it a foreclosure. I did go past 120 days late but the house sold and a foreclosure process was never completed or started that I know off. I know each state has specific foreclosure laws, if it never went to those steps and the property sold how is it a foreclosure? I'm going to fight it with the credit agencies but I don't get it. Please advise.
Posted on: 25th Jul, 2010 05:03 pm
I hired an attorney back in July, to do a loan modification on my home,I was current on my payments,had'nt missed any payments,I was a first time homebuyer, paid the son of a beep 3,000.00 and he told me to show hardship,I should not make any payments. he said the process would take approximately 90 days.after the ninety days,he was shut down by the Calif.State Bar Assoc. for dishonest practices,and there I was left with no money and no modification.so I had no choice but to short sale my beautiful home .question: will I recover and can I purchase another home soon? : :cry: I'm very upset,that people don't care about people anymore !
Posted on: 29th Jul, 2010 11:30 pm
Who cares about a home? Go to the beach, build a hut out of pieces of steel and cardboard and you will save thousands. Oh yea!
Posted on: 21st Aug, 2010 11:49 am
I just closed my short sale through Bank of America in Southern California. The process was very very very long. The bank forgave $230,000. However, I signed a promissory note in which I agree to pay $15,000 + and additional $6,600 up front. Considering the huge loss the bank took, I don't feel bad about the penalty costs. It is what it is and the part that gives me hope is knowing that in two years I will have a fresh start and buy another house.

My advice to anyone who is facing foreclosure is taht it all comes down to having the option of buying a new home quicker verses waiting longer after a foreclosure. Your credit will be hit hard regardless if you short sale or foreclose. However, a short sale will give you the opportunity to buy a home in less than two years. I know two years seems like a long time, but seven years really rocks the boat after foreclosure.

No, it is not the end of the world my friends. Look at it this way, after the shortsale process and going through that experience, you will be better educated in terms of how to approach a home loan and will have peace of mind knowing that neither an agent nor a brooker will pull the wool over your eyes. You are not going anywhere soon, so take the road that best suits you. You will survive and have more than you need down the road. Every now and then stop for a moment and realize that four walls and a roof do not make a person. Keep your dignity and never succumb to the guilt that mortgage companies want you to feel. Remember, banks and mortgage companies survive through numbers and don't have a soul. You and your family are far more important than an interest rate!!!
Posted on: 21st Aug, 2010 12:14 pm
I have a client right now who had a foreclosure about 2 years ago and is currently approved for a VA loan.

It really depends on the lender and how bad your credit was hurt by the short sale or foreclosure.

We have a few lenders that only require 1 year seasoning, there are others that require 2 years, and then a few that require 3 years seasoning.

It's important to not have any lates or collections after the foreclosure or short sale. This will make you look responsible.

Benie

[Link deleted as per forum rules. Thanks.]
Posted on: 08th Sep, 2010 06:45 pm
a 675 is a decent score, but in this lending climate, definitely not "good"...750+ would be a good credit score that would open more doors.
Posted on: 16th Sep, 2010 11:47 am
did a short sell sept.09, we have build our credit score to 700. we own 2 houses. would like to sell 1 house and buy another 1. Is this possible?
Posted on: 07th Nov, 2010 03:49 am
Hi Guest!

Welcome to forums!

You can definitely sell off one of your properties. However, it will be difficult for you to get a mortgage in order to buy a new property. After a short sale, you'll have to wait for 2-3 years in order to get a new mortgage.

Feel free to ask if you've further queries.

Sussane
Posted on: 09th Nov, 2010 01:06 am
I;m in a short sale after we finish can we buy a house by Veteran Administration, thank rafael
Posted on: 18th Nov, 2010 12:19 pm
Hi Rafin,

Immediately after a short sale, you won't be able to get a mortgage. You will have to wait for at least 2 years after the short sale in order to get a mortgage.
Posted on: 18th Nov, 2010 10:21 pm
We are in the process of doing a short sale. We want the Bank to sign off and show the rest of the loan as paid off. We of course owe more than it is worth. Heres the question does a short sale hurt your credit so bad that you wont beable to get your credit score high enough to buy a new home. I mean the Bank gets part of their money and doesnt have to waste money on a attorney. We are not trying to freeload and just live in a home not making payments we are trying to help them out. Does the short sale dmg your credit so bad you cant repair it good enough to buy for years? Concerned
Posted on: 19th Nov, 2010 02:39 pm
Hi Guest,

A short sale will affect your credit score in a negative way and reduce your score by 75-100 points. However, if you take steps to improve your score, then you will be able to buy a property after 2-3 years.

Thanks
Posted on: 19th Nov, 2010 10:12 pm
I did a short sale a year ago. My credit is execllent except for the lates due to the short sale. Is the a written rule of waiting a period of 2 to 3 years to buy again. Before the melt down people were not doing short sales or loan modification either. Now everything is short sale short sale. What are the actual guidelines for this rule.
Posted on: 15th Dec, 2010 05:52 pm
I did a short sale a year ago. My credit is execllent except for the lates due to the short sale. Is the a written rule of waiting a period of 2 to 3 years to buy again. Before the melt down people were not doing short sales or loan modification either. Now everything is short sale short sale. What are the actual guidelines for this rule.
Posted on: 15th Dec, 2010 05:53 pm
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