Home Buying in 95382>Question Details

hecerocks, Renter in Turlock, CA

We had to short sale finalized this week....Credit has sucked for awhile. We are now debt free and have a down payment... When can we buy?

Asked by hecerocks, Turlock, CA Wed Sep 26, 2012

Help the community by answering this question:


Your best option will be finding a mortgage broker that have access to a flexible private lender and be ready to put a large down payment to secure this mortgage. It is not going to be possible for you to go to the traditional lenders, because they are subject to Fannie Mae or FHA guideliness which restrict lending money to homeowners with short sales or foreclosures history.

Best of Luck,

Maria E. Cipollone

1 vote Thank Flag Link Wed Sep 26, 2012
2 years with conforming (Fannie Mae/Freddie Mac) financing and then 20% down, or 4 years with 10% down. Doesn't matter if you were late on the mortgage payments or not at the time of the short sale.

With FHA financing it's 3 years from the short sale. However if you were current at the time of the short sale, and not late on the mortgage & other debts for the 12 months prior to the short sale, and not buying a similar or superior home for a reduced price within commuting distance, then just 1 day is acceptable. Exceptions can be granted to homeowners who were in default at the time of their short sale if documented extenuating circumstances exist (such as death of primary wage earner, long term un-insured illness, etc.) and credit was satisfactory prior to such circumstances.

Fannie guidelines on financing after a short sale: https://www.efanniemae.com/sf/guides/ssg/annltrs/pdf/2010/se…
FHA guidelines on financing after a short sale: http://www.hud.gov/offices/adm/hudclips/letters/mortgagee/fi…

Shane Milne | Lending in all 50 states | NMLS #81195
1 vote Thank Flag Link Wed Sep 26, 2012
Depending on whether or not you were late on your mortgage payments or not will determine when you can purchase again. Typically, if you remained current on your payments during the short sale process you can purchase right away (credit depending). Otherwise you will need to wait 2 years to obtain a conventional loan and 3 years for FHA. Most mortgage brokers can give you the straight answer. For more information and evaluation you may want to check with Bank of Commerce. (209) 579-3600 ask for Alex. He is trustworthy.
0 votes Thank Flag Link Wed May 15, 2013
I had a short sale last year and my Realtor recommend http://www.cfs-mortgage.com/flex for a home loan. I am very happy to be able to purchase again.
0 votes Thank Flag Link Sun May 12, 2013
Conventional lending and FHA want a minimum of 2 years after a shortsale.
In the meantime, work on fixing your credit.
Or...you can go private lender but they are requiring a minimum of 30% and want mostly nonowner occupants (just my experience)
0 votes Thank Flag Link Wed Sep 26, 2012
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