Right now, your only option is a hard money loan, however, if you do decide to go that route, you can always refinance. Just make sure the loan does not have a pre-payment penalty.
Otherwise, I would wait for six more months.
C2 Financial Corporation
2845 Moorpark Avenue, Suite 209
San Jose, CA 95128
We have a program for Borrowers one year out from a major derogatory such as Foreclosure, Short Sale, and Bankruptcy which was caused by loss of income due to the economic recession.
For borrowers who had credit issues caused by the recession that were the result of either: Documented 6 months of unemployment that resulted in 20% reduction in Household income or
Documented 20% reduction of Household income for 6 consecutive months or
A combination unemployment or reduction of Household income lasting 6 months or more and resulting in 20% monthly reduction in Household income.
Loss of job, cut in pay or reduction in work hours resulting in pay cut
This loan is available from $50k-4 million and in AZ, CA, CO, DC, FL, HI, IL, MD, MT, NV, NJ, NY, NC, OR, SC, VA, and WA
Do you have any reserves? Reserves are typically 6 months of the expected mortgage amount that you have in your account. Some lenders require the reserves to be "seasoned" meaning the money has been in your account for at least 3 months to 1 year.
I recently got one borrower approved using their VA eligibility and $0 down payment just 14 months after they did their short sale.
Conventional financing (Fannie Mae) allows borrowers to buy as soon as 24 months after their short sale with a 20% down payment.....not sooner. Be careful though, you would be surprised at how many banks don not report the correct 'code' to the credit bureaus that prevents them from receiving an automated DU approval, which then requires a manual underwrite, which only a small handful of lenders will do or need to get that code corrected....which is no easy task.
It's best to get all this squared away now rather than wait.....call me if you want....I'm in Temecula.
You can read the updated guidelines and waiting periods of when you can qualify and buy again after short sale in California in the link below.
If you are ready, call me. I will be showing homes in Canyon Lake and Temecula this weekend and would love to show you around and meet you. A few agents might reply and contradict what I am saying here, but I urge you to call me so I can show you I am right.
Riverside County Home Sales