I had to short sale after a divorce. I could not make the payments on my loan for 230k but am looking at buying a 50k condo with 10k down. Possible?

Asked by Dary, 32808 Sun Aug 8, 2010

I know that generally I would have to wait 2 years for a loan but because properties are so upside down in my area there are great deals on condos. With a large down payment it would be cheaper to buy a condo than to rent an apartment. What kinds of loans could I get?

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7
Mark LeMenag…, Agent, Lake Nona Orlando, FL
Mon Sep 6, 2010
Dary, There have been 191 sales of condos in the $40k to $50k price range in Orange County in the past 90 days. ONE was seller financed, ONE was FHA, FOUR were conventional, and ALL THE REST were cash. Is it possible? Sure. Is it likely? Sorry, no it's not.
1 vote
Patti Kane, Home Buyer, Boulder, CO
Sun May 12, 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
Mike Luzzo, , Orlando, FL
Fri Sep 3, 2010
Hi Dary,

You asked:

What kinds of loans could I get?

Most condo's are cash or seller financed transactions only. There are some condo developments that are FHA approved. Consult with your favorite realtor today.
0 votes
Avi Maganda, Agent, Apopka, FL
Tue Aug 10, 2010
Most likely your only option is Seller Financing.
Currenty, there are not plenty of condos for sale with this type of financing, but if you ever find it, be aware that neither the sales price or the interest rate will be like the average available.
Example:
A condo that its current market price is 50,000 dlls for someone that can pay cash, it will be offered with seller financing around 70,000 dlls.
An interest rate offered to good credit applicants at 5.5% for 30 years, it will be at least offered with Seller financing at 7.0% (amortization 30 years but with a ballon 3 to 5 years).
I know you would like to start all over again after you already had ownership, just have a little bit of patience this time and make numbers first, if you can afford it and if your mortgage payment is about the same that monthly rent, it could be a fresh start for you.
Web Reference:  http://www.Orlando-Relo.com
0 votes
Voices Member, , Orlando, FL
Mon Aug 9, 2010
After a short sale, within (2) years, is more than likely not going to be possible, however the below mentioned options are excellent suggestions. "Seller Financing" - This is when the seller offers to finance the house to you, which can be an excellent option for you, since there are other issues in this scenerio also.
Minimum loan amounts under 50K are very tough...and condo financing even tougher.

If you must own a condo now, seller financing is the way to go.

Ben Pasquine
407-230-7787
BPasquine@RHFunding.com
Web Reference:  http://www.lendingfl.com
0 votes
Jennifer Hunt, , Orlando, FL
Sun Aug 8, 2010
Hi Dary,

You have a couple of challanges. The first is getting financing after short sale, you need to meet with a trusted mortgage broker. The second challange is locating a condo that will qualify for financing. A condo community must have a high percentage of owner occupied properties, around 80%, before it will qualify for traditional financing. Another possability is to find private financing, I have had several clients go this route. Take care.
0 votes
Dp2, , Virginia
Sun Aug 8, 2010
You could buy a property with seller financing.
0 votes
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