There are always exceptions, however, standard guidelines are around 2 years. It really depends on how much you can put down on the new loan. There is always cash. (No rules there). My advise is to speak with your agent that helped you on the short sale. They should have a credit repair person they can refer you to. Do It Now!
The wait times are a minimum of 2 years...some cases 3 years...
There are always exceptions to the rule VA, for example, is on a case by case basis..
and there ARE some lenders that are emerging now and CAN do loans for buyers BEFORE the time frames are up, as long as the buyers were CURRENT and did NOT have ANY LATES on their short sales...etc...
and these lenders can do it because they are NOT governed by Fannie or Freddie's guidelines...they write their own rules and guidelines....HINT stay out of the major banks if you want a loan BEFORE the time frames are up.
Ron...you need to READ answers that are posted here. NO WHERE did I say in my answer BANKS....
I said LENDERS...or LENDING institutions....companies, etc..... And the FDIC stands for Federal Deposit Insurance Corporation and "insures each depositor up to $250,000 per deposit. They have nothing to do with "lending monies"
Sorry but there are LENDERS out there or LENDING COMPANIES...that ARE doing "loans for buyers who want to buy before the waiting periods are up...as long as they had NO lates on their records, they DO have decent FICOS, and stable jobs with 2 years tax returns and enough money down for a CONVENTIONAL loan 10% or more....that WILL LEND money right now to PURCHASE a home,condo, townhome, etc here in CA.
And NO they are NOT "hard money lenders" charging ungodly interest rates... and YES, these "lenders" are NOT governed by Fannie or Freddie, like the big banks are(Chase,B of A,Citi,Wells, etc), so they CAN and DO "write their own rules and guidelines" in lending monies. (their words, not mine)* All 3 companies, I use, just VERIFIED this again TODAY!
I've had over 39 customers buying homes with these institutions in the past 2 years, and more who want to BUY now.
The BANKS are governed by Fannie and Freddie and it's Fannie and Freddie guidelines that state what the waiting times are, and what the BIG BANKS can and cannot do.
But continue to write about "conspiracy theories"....., where THAT came from is beyond me...but hey, this is a forum and everyone's entitled to their opinion...and me? I'll just keep getting these buyers into homes!
The "question" posted in this post was TIMEFRAMES AFTER SHORT SALES for buyers.. things are being taken out of context.
I KNOW who governs the banks...it's the OCC and other regulatory agencies depending on the "infraction" that is being committed.
Fannie and Freddie govern the BANKS on their "LENDING RULES and GUIDELINES for underwriting certain types of LOANS" not governs them on their procedures, etc..
The FDIC has zero to do with "timelines" on buying after a short sale....
call or email their headquarters directly I have answers in "writing" and "recorded" on what they
"regulate" and it has zero to do with timeframes for buying after a short sale
|FDIC Office of the Ombudsman E-2022 3501 Fairfax Drive Arlington, VA 22226|
Kristy....in answer to YOUR question...YES there ARE LENDERS who "write their own rules" in LENDING and can OFFER loans under the 2 year rule, as long as these "lending entities" are NOT one of the big BANKS that must obey Fannie or Freddie's rules in lending guidelines for certain loans.
Hope this helps.... these institutions are very hard to find though, you won't see them advertising, and each loan IS on a case by case basis....it depends on the buyers situation, down payment, credit scores, income, etc....and whether the LENDER wants to take a risk on lending to that buyer. But if the buyer meets that LENDER'S qualifications....then the loan can be done. *I don't know about other states, but the LENDERS that I know that WILL and CAN do this...are doing this for buyers in CA.. thanks!
And again, this IS a forum, and everyone" has and is" entitled to their opinions.
coming in a little late her but my preferred lender will lend to someone who has done a short sale immediately if they have not missed payments.
Sheyenne, I have a couple where the husband accepted a job transfer from Ft Worth to Phoenix. They are leasing in Phoenix and are unable to sell the home in Ft Worth. They are contemplating a short sale but don't want to damage their credit thus preventing them from purchasing a new home in Phoenix. They are current on payments are unsure how long they can keep this up. What are the three companies that you use?
Did I see this right? Your Client closed on an FHA PFS and they were never late?
FHA is 36 months after the closing date.
HUD will allow an FHA mortgage immediately after the closing of a short sale if there were no mortgage lates in the last 12 months, the sale served as satisfaction in full, and the previous mortgage was not FHA or VA.
Google- "Waiting Periods required for significant derogatory credit events"
I had one buyer who qualified for a FHA loan and purchased a house 3 month after short sale (2 years ago) and then another buyer bought a house this April with 20% down less than 2 years after short sale with a major bank at 3.75% and one more buyer currently getting a loan from a lender who will loan even a day after short sale or even foreclosure so long as it was an isolated case. The 3rd lender charges 6% interest and no timeframe requirement but interest rate is 6%.