short sale; how soon after can we buy a house?

aapl4theteacher · Joined: 16 Mar 2008 Posts: 7 3.60 Dollars($)

Trying to find out how long after a short sale before I can get financing? Will it help if I have a lot down? (20 %)
Thanks,

laphillips

aaple4theteacher,

Any real estate purchase is helped with a 20% down! You don't say was the short sale completed while the house was still in default or had it entered foreclosure (had the sale date been recorded)?

aapl4theteacher · Joined: 16 Mar 2008 Posts: 7 3.60 Dollars($)

In default; we beat the foreclosure. I was told the foreclosure sale would have taken place in August. Do you think this will be a problem? The foreclosure sale date was set, but never took place.

laphillips · Posted: Sun Jul 06, 2008 5:27 pm Post subject:

Good for you! Even in default you credit score (FICO) probably suffered...take some time to get your credit back in shape - if nothing else interest rates are FICO driven - and start checking into your options.

One option you might want to look into is a lease option but although these can be great when you are rebuilding your credit but especially in this market they require extra caution. Idea

aapl4theteacher · Joined: 16 Mar 2008 Posts: 7 3.60 Dollars($)

We'll work on it; we sure appreciate your input!

larry · Joined: 27 Jun 2007 Posts: 3328 473.40 Dollars($)

Hi aaple4theteacher,

Foreclosure will have much bigger negative affect on the credit than short sale. In case of short sale you can get approve for another mortgage with affordable rates and terms after 18 months if you can work on your credit but if you face foreclosure it will take longer period of time for you to get approve.

Feel free to ask if you have any further questions.

Best of luck,
Larry

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