Home Buying in 32953>Question Details

K, Home Buyer in Merritt Island, FL

Any lenders in Brevard willing to mortgage a married couple 1.5 years post short sale? Credit scores are in the 700s.

Asked by K, Merritt Island, FL Wed Apr 3, 2013

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2
Hi K,
Conventional guidelines will allow you to apply for a new loan 2 years after the short sale IF you have at least a 20% down payment. The waiting period may be waived if there are extenuating circumstatnces behind the short sale, such as death of a co-borrower or a prolonged documented illness.

FHA won't require as large of a down payment but they require a 3 year waiting period. A lender may make an exception to this rule for a borrower in default on his/her mortgage at the time of the short sale if the:
· default was due to circumstances beyond the borrower’s control, such as
death of primary wage earner or long-term uninsured illness, and
· a review of the credit report indicates satisfactory credit prior to the
circumstances beyond the borrower’s control that caused the default.

Those are straight from the conforming and FHA underwriting guidelines, although lenders may overlay their own waiting periods that may be longer.

hope this helps!
Tony
1 vote Thank Flag Link Wed Apr 3, 2013
There is a very talented finance guy we use for buying his name is John Wienmann, a broker with many options. His number is 407-579-7345.Credit scores sound good.
0 votes Thank Flag Link Mon May 6, 2013
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