Can you gate colificate to buy a home if you hade short sale?

Asked by Magdalena Bahnean, 85340 Thu Jun 3, 2010

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Loren Hoboy’s answer
Loren Hoboy, Agent, Phoenix, AZ
Sat Sep 18, 2010
The answer is yes, but you must meet certain criterion. If the only hit to your credit report is the short sale and not unpaid HOA fees, slow payments on credit cards or other credit challenges, it take about 2 years before you can qualify for a loan. You will need proof of income, a credit score of at least 620 or more and low credit card debt. If you have other problems you need to get these fixed before starting the clock.

If you had a good credit history of paying your bill on time for a number of years before the short sale, have staid current on all other obligations, and have steady income (job) there are some sellers who will provide owner financing sooner. Generally this is at higher interest rates 6-8% and they prefer a 10-30% down payment, but there are exceptions.

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Jeremy James…, Agent, Scottsdale, AZ
Thu Jun 3, 2010

Yes, you can still qualify to buy a home after a short sale. You will need to contact a lender and pull your credit to see how hard the short sale impacted you, there may als be a waiting period before you can buy if you were late on any payments. Good luck, if you have any further questons don't hesitate contact me...
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Emelia Sanch…, , Ontario, CA
Thu Jun 3, 2010
Yes, you will need to speak to a lender. Rules are changing constantly, it used to be if you did a short sale and you were not late on any of your mortgage payments you could buy right away depending on the circumstances. Now they are putting time-lines, asking for heftier down payments and higher fico score requirements.

Good Luck!
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Jeffrey Masi…, Agent, Scottsdale, AZ
Thu Jun 3, 2010
Dear Magdalena:

Yes you can qualify again. May take 2 years to try to do so. You may want to check your credit and make sure all of your creditors are reporting recent paymens on time.

Check with your accountant or financial advisor. You can ask for a free credit report.

Other options is to rent with an option to buy or a lease purchase option. However, getting your credit clear other than the short sale is wise in any case.

Did you receive a letter from your past lender relieving you of the shorted amount on the short sale?

Regards, Jeff

Jeff Masich, Realtor
Arizona Homes and Land
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Anna M Brocco, Agent, Williston Park, NY
Thu Jun 3, 2010
In order to be qualified for a loan after a short sale--much will depend on the circumstances that you you to your short sale, how long ago did the short take place and has your credit been repaired, etc.,--visit with any qualified loan officer(s) first--see if you qualify, see what your budget can handle and have your credit score checked--their scoring is often different--then go from there.
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Gerard Dunn, Agent, Chevy Chase, MD
Thu Jun 3, 2010
I am not sure what you are referring to. Do you mean a section 8 certificate?

Short sale in your past should not impact your ability to get a Section 8 cert. Your credit will certainly be impacted.

Good Luck!

Gerry Dunn

Associate Broker
Maryland, D.C. and Virginia
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