Does anyone have any information to share as to the time frame to re-purchase after a short sale?

Thank you for the info!

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Jacqueline

I had been telling my agents and other Brokers that there are lenders out there lending money right away after a short sale. Can you provide at least one of the lenders you client have used?

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

Jacqueline Lee

Sharing the name of those specific lenders may be very helpful to a lot of people on this site.

It really depends. I was at a short sale closing, seller had not made payments in two years and was closing the next day on a new home.

I highly doubt the seller was getting a traditional mortgage on the new purchase.  With 2 years of non-payment, his credit would have been trashed aside from not meeting guidelines.  It was most likely either a cash sale, owner financing, or a hard money lender.

The timeframe after a Short Sale all depends on the loan program.

 

Fannie Mae/Freddie Mac

24 months after the closing date - with 20% Down payment

48 months after the closing date - with 10% Down payment

 

FHA

36 month 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

 

VA

24 months after the closing date

12 months after the closing date (by exception with extenuating circumstances only)

 

If the mortgage from the Short Sale, was an FHA or VA mortgager where a claim was paid, the waiting period will be at least 36 month from the date the claim was paid before there is a clear CAVIRS.

I just helped a family purchase a home using an FHA loan.  House was sold as a short sale 3 years ago and at the same time they filed for bankruptcy.  Lenders will do it for a minimum of 2 years if not in default, outside a reasonable commuting distance or due to extenuating circumstances.

The 2nd loan with 20% down less than 2 years after short sale was done with Chase and the 3rd one is done with a regional lending institution in the Jacksonville market but each area has a lender that will offer loans like that and you can find them through mortgage brokers because those lenders market to mortgage brokers. Try some credit unions as well - not all but you will find some that are flxible.

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