Home Selling in 89135>Question Details

Anthony, Home Buyer in 89138

I've heard stories (friends of friends of friends) short selling their current home and moving into a larger, nicer home. Is this even possible?

Asked by Anthony, 89138 Thu May 6, 2010

In most cases the price of the new home is less than the original price of the current home due to the huge 50% price drop in the metro. Presumably they have the cash for the 20% down payment on the new house and closing costs and such. Likewise, their new mortgage payment is less than their old one. This just seems odd.

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12
There are definitely some lenders out there that will qualify a home buyer for a mortgage, even with a recent short sale. Do expect for the interest rates to be higher, and the lenders I know of, require at least 1 year down.

This is a very common question from the many people who have been short selling their homes over the last few years.


Contact me direct for all of your home sales services, and I can help get you moving on your next purchase!


Sincerely,

Mark Fleysher, 702-291-8186
MBA, Realtor, Broker
Sellstate Deluxe Realty


http://sellstatedeluxe.com/summerlin-villages-communities-an…
1 vote Thank Flag Link Wed Oct 16, 2013
The original post on this was almost 3 years ago...hopefully they got it figured out by now.


Best Regards,
Robert Adams
Broker/Salesman
The Adams Team at
Rothwell Gornt Companies
C:702-349-9175
O:702-932-8813
F:702-932-8826
RobertAdams@LVrealestateHELP.com
http://www.LVrealestateHELP.com
1 vote Thank Flag Link Wed Jan 16, 2013
3 years ago...............and yet the short sale saga continues!
Flag Wed Jan 23, 2013
Thanks for the post! Here is an interesting write-up related to your quesion that may assist you. In case the address gets lost in cyber space, the article is at Inman News. Good luck to you!

http://www.inman.com/buyers-sellers/columnists/taranichollen…
1 vote Thank Flag Link Tue Dec 4, 2012
Yes, anything is possible. A home can be purchased, after a short sale. The rate and terms of the financing may be less favorable than what they could obtain with a higher credit rating.
0 votes Thank Flag Link Sat Jan 19, 2013
Hi Anthony

In the last 3 years a lot of rules have changed.

Three years ago it is likely that friends of friends got into contract first on their new home
and then did a short sale on their High Balance Loan, home.

FHA loans are more forgiving.

Hi Anthony

In the last 3 years a lot of rules have changed.

Three years ago it is likely that friends of friends got into contract first on their new home
and then did a short sale on their High Balance Loan, home.

FHA loans are more forgiving.

http://www.professionalsoldiers.com/forums/showthread.php?t=40041

Ruth
Web Reference: http://ruthandperry.com/
0 votes Thank Flag Link Wed Jan 16, 2013
Hello Anthony,

A homeowner who successfully negotiates and closes a short sale will be eligible for a Fannie Mae-backed mortgage after only 2 years.

Learn more about short selling your existing home by contacting us directly or checking out our up-to-date blog about Las Vegas Short Sales:
 
http://sellstatedeluxe.com/las-vegas-short-sale-specialists/
0 votes Thank Flag Link Sat Jan 5, 2013
Yes it is possible. The seller/buyer must qualify for both payments often with 6 months reserve. It is also possible to short sale your home and buy the next day if you stay current on your mortgage payment. Talk to a lender first to determine your best strategy.
Check us out at:
http://www.VegasHomeExpert.com
0 votes Thank Flag Link Tue Dec 4, 2012
I am working with lender who can finance after a Short sale, but it is certain criteria like- you did Short sale, but never been late on the payments, and you have to provide some down payment about 20-30 %. Of course it is also depends on your credit score.
If you need more information and looking to buy home after Short sale your house , call me or send me e-mail, i will be happy to share this information, and assist you find your new home.
Aneta Ivanova
Broker sales person
Exit Realty Imoti
0 votes Thank Flag Link Mon Dec 3, 2012
Sounds like they may have banks at there door steps soon. This would be called a stretegic default and mean possible fraud. It would be interesting to understand the timeline of default and purchase and what there intent was.

I think after the issues with the banks settle down they will review these situations carefully to understand what they can do.

Keith Manson
First Weber Group
Certified Distressed Property Expert
Metro Milwaukee

http://www.milwaukeebailout.com
0 votes Thank Flag Link Sat May 8, 2010
Sounds sketchy. You should definitely consult an Attorney on this one.
0 votes Thank Flag Link Fri May 7, 2010
It has happened here in Las Vegas,,,, if they bought the new home 1st and then short sale the old home....of course they would need to be able to qualify to make payments on both homes, etc...and some have been able to do that.
Web Reference: http://www.DawnBarrier.com
0 votes Thank Flag Link Fri May 7, 2010
How could they be approved for a short sale if they had the ability to be approved for a loan?
How could they have qualified if they had money for a downpayment?

If the did in fact receive short sale approval and then bought a new property it sounds like loan fraud.

Just my opinion.
0 votes Thank Flag Link Thu May 6, 2010
Keith Sorem, Real Estate Pro in Glendale, CA
MVP'08
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