I did a short sell on my house when can I buy agaim?

Asked by Barb Mccann, Mariposa, CA Tue Jan 10, 2012

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14
Ron Thomas, Agent, Fresno, CA
Tue Jan 10, 2012
The word right now is 2 years,
however,
In the next couple years, I predict the Lenders are going to be hungry; there are a lot of displaced families out there, waiting; waiting for their purgatory to end.
The Lenders want to make loans,
so they will come up with programs to help you, (themselves!)

Good luck and may God bless
1 vote
Bill Eckler, Agent, Venice, FL
Sun Apr 27, 2014
This depends on your personal circumstances including your current credit condition. Usually, lenders will look at you again in two years...give or take.

Bill
0 votes
aftervince19…, , Greenville, NC
Sun Apr 27, 2014
Get a flexible credit loan. This program assists homeowners who have recently been through a foreclosure, short sale or have recently emerged from bankruptcy.


http://www.thinkcomstock.com/buy-after-foreclosure
0 votes
, ,
Mon Aug 12, 2013
This the deal it is real simple. If you meet guidelines that no one meets you can buy right not.
Since no one meets the guidelines we will skip it.

Buying Conventional if you put down 20% the wait is 2 years. < 20% down = 7 years.

VA = 2 years

FHA 3 years

Hope that helps, any questions please call 949-297-1207
0 votes
, ,
Mon Aug 12, 2013
If you meet a certain set of restrictions you can buy right now. Hint. no one meets the restrictions.

If you buy using a conventional loan with 20% down it is 2 years. Better be ready to be completely scrutinized. < 20% = wait 7 years

If you are buying FHA = 3 years

Any other questions

949-270-1207

I
0 votes
Joycelewis412, Home Buyer, Sacramento, CA
Sat Aug 10, 2013
I just found a site that tells you if you can qualify for a mortgage after a short sale or foreclosure. try http http://:www.whywaitbuytoday.com
0 votes
Gregorio Den…, , San Diego, CA
Wed Jan 11, 2012
Terry, almost all of the people I deal with have been told the same thing. You need a lender that has no overlays to FHA guidelines.

See section 4155.1 4.C.2.l : http://www.hud.gov/offices/adm/hudclips/handbooks/hsgh/4155.…

Unfortunately I don't know of anyone in Florida, but there are a few in California that do this. The criteria is very simple. No missed mortgage payments for the 12 months prior or since. No missed payments on any other item in the credit report and proof that the short sale and repurchase is not to game the market. This is accomplished with good letters of explanation and a good loan officer that will provide documentation regarding the reasons for the short sale and package the file properly.

If you really are interested, I will find out if any of the wholesale lenders I use also lend in Florida. Feel free to contact me through my profile.
0 votes
I am wanting to purchase a home in Ca in the 100k range, and have 70-75k to put down, obviously leaving only a balance of 25-30k. However, when I went in to talk to a potential lender regarding getting a mortgage for the remainder was told I cannot get a home loan for less then 50k. I went through foreclosure due to the death of my husband 2 years ago because I couldnt maintain two homes, and was unable to sell because of the economy. However I had perfect credit for 40 years prior, and have paid everything on time since. Are there any other types of loans I would be eligible for where I can get just the 25k even if its at a higher interest rate? Thanks for any and all advice.
Flag Sat Mar 23, 2013
Terry McCarl…, Agent, Cape Coral, FL
Wed Jan 11, 2012
What other criteria Gregorio??? I have people wanting to buy that did short sales who can't get a loan even when they were never late on their payments - we have spoken to so many different lenders it is not even funny and are always told they have to wait a "minimum of 2 years". I would love some clear guidelines and a lender who could get these buyers financed.

I have a problem with the lenders anyway as I have had so many clients tell me the lender told them to stop making payments or they wouldn't qualify for a short sale. So...guess what...they listened to the lender and stopped making payments. I talk to the banks everyday of my life regarding short sales and I promise you I can call the same lender about the same account on the same day - talk to 5 different people and get 5 totally different answers. It truly is a shame and the distressed sellers are being given the run around instead of good and honest advice from their lenders.
0 votes
Gregorio Den…, , San Diego, CA
Wed Jan 11, 2012
The problem with that Terry is that you turn people away that would otherwise qualify. As it states in the FHA guidelines, one can get financing the day after a short sale if they remained current and meet the other criteria. I happen to specialize in these and it's irritates me when agents tell clients "it's 2 years" as a blanket answer when they don't actually know the guidelines. If you say 2 years without exploring the circumstances of the short sale, you may be steering people away from a purchase they qualify for. Not to mention costing yourself a paycheck.

Just sayin.
0 votes
Terry McCarl…, Agent, Cape Coral, FL
Wed Jan 11, 2012
Good for you Gregorio - the question is not specific on what type of loan the seller had when they did a short sale. Anybody is going to wait at least 2 years and I used the term "current minimum wait". When anyone local asks about getting a loan after a short sale I have some excellent lenders I refer them to so they can find out all the little details. Lucky for me the local lenders don't take offense to real estate agents giving general answers and leaving all the details of lending up to them.
0 votes
Gregorio Den…, , San Diego, CA
Wed Jan 11, 2012
"the current minimum wait is 2 years but I think that will change in the not too distant future."

You really need to stop saying that without giving all the details. This is not subjective, there are actual guidelines. What I posted is exactly what is enforced without exception for conforming and FHA loans. The answer is not a blanket 2 years. You can only repurchase after 2 years with a conforming loan and 20% down.

Details are important.
0 votes
Terry McCarl…, Agent, Cape Coral, FL
Wed Jan 11, 2012
Ron is right - the current minimum wait is 2 years but I think that will change in the not too distant future.
0 votes
Gregorio Den…, , San Diego, CA
Wed Jan 11, 2012
"2 years is the answer ONLY if you are a vet and did not short sell a home with a VA loan on it. The correct answer is with private money there is no waiting but it is expensive, FHA is 3 years, conventional is 7 years. However there are exceptions."

That's not even close to the correct information! The only correct thing in that was that you can purchase immediately with private money. The ACTUAL waiting periods for purchases after short sales are as follows.

Fannie Mae will allow you to purchase a home 2 years after a short sale with a 20% down payment and 4 years after with a 10% down payment, with re-established credit. If there were documentable, extenuating circumstances, you may be able to buy after 2 years with 10% down.

FHA has a 3 year waiting period after short sale, however, you may be eligible for a new FHA loan immediately after a short sale if:

o All mortgage payments due on the prior mortgage were made within the month due for the 12 month period preceding the short sale and,
o All installment debt payments for the same time period were also made within the month due.

Borrowers are not eligible for a new FHA mortgage if they pursued a short sale agreement on his or her principal residence simply to:

o Take advantage of declining market conditions, and
o Purchase, at a reduced price, a similar or superior property within a reasonable commuting distance.
Borrowers in default on their mortgage at the time of the short sale are not eligible for a new FHA-insured mortgage for three years from the date of the pre-foreclosure sale.
Web Reference:  http://WeFixRates.Com
0 votes
Elisa Dewees, Agent, Cherry Hill, NJ
Tue Jan 10, 2012
Typically there is a 2-year period before you can purchase again. It depends on your credit scores and how your loan was reported by the lender. Check with a local mortgage representative and they should be able to guide you in the right direction. Glad you didn;t give up on home ownership!
0 votes
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