| Author |
Message |
deoncaldwell
Joined: 29 Dec 2005
Posts: 1
0.41 Dollars($)
|
 Posted: Thu Dec 29, 2005 12:49 pm Post subject: Can short sale affect credit score |
|
|
| My credit score is 550 and I am selling a house. I owe 50k and I am looking to do a short sale for 45k should. How much will this affect my score. |
|
 |
Angel
Guest
0.10 Dollars($)
|
| Posted: Thu Dec 29, 2005 1:01 pm Post subject: |
|
|
| I shall advise to rent it without going for a short sale. Short sale will have a negative effect on your score as it may be viewed as a foreclosure type. |
|
|
Samantha
Community Mentor
Joined: 16 Sep 2005
Posts: 1535
Location: MASSACHUSETTS
136.50 Dollars($)
|
| Posted: Thu Dec 29, 2005 1:08 pm Post subject: |
|
|
Hi Deoncaldwell,
Welcome to MortgageFit Forums.
In case of a short sale the lender will put on your credit report that you have paid less. So obviously, you will have your credit ruined further as happens in case of a foreclosure.
As Angel said, you may look for rent or may wait for some more time to get a good price for your house.
The discussion on the subject "Can the lender reject a short sale offer?" may help you to clear your concept on short sale.
God bless you.
For MortgageFit,
Samantha
_________________
Know how to compare lenders with mortgage booklet |
|
|
Guest
0.10 Dollars($)
|
| Posted: Mon Jan 07, 2008 2:36 pm Post subject: |
|
|
* Foreclosure or Deed-in-Lieu of Foreclosure
Both of these solutions affect credit the same. Sellers will take a hit of 250 to 280 points. This means if a seller's FICO score before foreclosure was 680, it could dip as low as 400.
* Short Sale
The affect of a short sale on a seller's credit report is much less damaging. The ding on credit will show up as a pre-foreclosure in redemption status, Steep says, which will result in a loss of 80 to 100 points. This means a short sale with a previous FICO of 680 will see it fall to 580 to 600. |
|
|
lisascherzer
Joined: 04 Jan 2008
Posts: 755
1.03 Dollars($)
|
| Posted: Mon Jan 14, 2008 1:11 am Post subject: |
|
|
It won't affect your credit if foreclosure has not been filed. If foreclosure has been filed then it will remain on your credit report. A short sale in itself does not show up on your credit report since it really just means that the lender is willing to accept less than what you owe on the mortgage.
_________________
Lisa Scherzer
Allpointe Mortgage
Expert Mortgage Broker
440-521-7060
Free
Mortgage Quotes
Get
Mortgage Information
Search
Real Estate Agents Here |
|
|
teamplayer
Guest
0.10 Dollars($)
|
| Posted: Sat Mar 01, 2008 2:20 am Post subject: short sale with two mortgages |
|
|
| I am upside-down on my mortgage/s and I am concidering a short sale. If the house sells for less than owed, will I be free and clear with the 2nd mortgage company if they are still owed? |
|
|
larry
Joined: 27 Jun 2007
Posts: 3328
473.51 Dollars($)
|
| Posted: Sat Mar 01, 2008 1:05 pm Post subject: |
|
|
Hi teamplayer,
Welcome to the forum.
I think the answer is no. the second mortgage company will ask you to pay the due amount. If you cannot pay then they may put a lien on your other properties or you may pay the second mortgage company on a monthly basis.
But I think you have taken a good decision because at least you are trying to pay off your lender. Short sale will hurt your credit less than foreclosure or DIL.
There are so many ways to avoid foreclosure. Check out this article to know more about it at http://www.mortgagefit.com/foreclosure/17ways-avoid.html
Feel free to ask if you have any further questions.
Best of luck,
Larry |
|
|
short sell pay back
Guest
0.10 Dollars($)
|
| Posted: Wed Jul 30, 2008 2:13 pm Post subject: what if you are doing a short sell but you want to pay back |
|
|
| what if you are doing a short sell... and you want to pay back the bank in payments? does this affect your credit score? |
|
|
helping_user
Joined: 31 Mar 2006
Posts: 803
Location: Hawaii
149.53 Dollars($)
|
| Posted: Thu Jul 31, 2008 3:00 am Post subject: RE: short sale and pay back the rest - affect on score? |
|
|
Hi,
Even if you do a short sale and pay back the remaining debt with your own funds, your credit score will drop down. This is because you couldn't pay the mortgage using the usual payment plan as provided by your lender. Instead, you've had to sell property in order to pay down the loan. By the way, did you have any late pays?
Thanks. |
|
|
mariposa
Guest
0.10 Dollars($)
|
| Posted: Wed Aug 06, 2008 4:36 pm Post subject: |
|
|
| I am selling my house to a relative and I owe more than what I am selling for, however I have never been late with any of my mortgage payments Ijust simply want to sell to get rid of property and both mortgages that I have on the house. I am willing to take the remainder of the second mortgage and convert it to a personal loan and pay off to bank. Would this be considered a short sale or no? |
|
|
Jessica
Community Mentor
Joined: 08 Jun 2004
Posts: 731
Location: OHIO
134.16 Dollars($)
|
| Posted: Thu Aug 07, 2008 5:02 am Post subject: RE: short sale |
|
|
Hi mariposa,
Short sale is a transaction wherein you sell off property at a price less than what you owe on any mortgage or combined loans on your property. So, what you're talking about is indeed a short sale. And, if the bank agrees, the remainder of the second mortgage can be converted into a personal loan and then paid off.
Regards,
Jessica.
_________________
Home buying made simple with Community booklet |
|
|
Niicss
Joined: 03 Oct 2005
Posts: 1252
Location: New Jersey
187.30 Dollars($)
|
| Posted: Thu Aug 07, 2008 5:04 am Post subject: |
|
|
Welcome mariposa.
As you are selling the property in less than what you owe to the mortgage company, it will be considered as a short sale. By the way, have you informed the mortgage company, that you are willing to sell the property to pay them off?
It's good that you are paying the deficiency amount but it will not be considered as a personal loan. Consult with the second mortgage company and ask them for a repayment plan so that you can pay them off.
Let me know if you have any further queries.
_________________
Good is the Enemy of Great. |
|
|
Advice seeker
Guest
0.10 Dollars($)
|
| Posted: Fri Sep 19, 2008 10:20 pm Post subject: Shortsale/ foreclosure |
|
|
| Hi, I owe more than the value of the property, I did not get any euity from it though before. I am currently a month behind on my mortgage since me and my fiance / co signor just broke up. I want to know if I will go foreclosure or short sale on my current situation. I really cannot afford to pay the 2nd loan if ever. Is there any chance that I can be free of this debt, Is there a law here in california that do that. Thanks! |
|
|
Guest
0.10 Dollars($)
|
| Posted: Tue Sep 23, 2008 5:10 am Post subject: |
|
|
| Since you are only a months default, I would suggest you to go for short-sale. But it is very difficult to make your lender agree to short sale because in short sale, you need not pay the difference of the outstanding debt amount and the sale amount. But if you go for foreclosure, not only you lose your home, but also the lender can bring judgment against you to recover the entire outstanding amount of the debt and all the cost incurred towards foreclosure. |
|
|
Short Sale13
Guest
0.10 Dollars($)
|
| Posted: Thu Nov 06, 2008 10:01 am Post subject: SHort Sale |
|
|
| If I go through the short sale way, will they bank go after my assests or any type of savings in my account |
|
|
Mortgage Know-How Forum
