Your name saw this post on The ActiveRain Real Estate Network and thought it might be of interest to you. Please see the link below to review the post.

Which Would YOU Rather--FIVE Years or ONE Year?
If you or anyone you know are considering "letting go" of your home to foreclosure--be sure you know ALL the facts first!  The rules are changing, and have changed--used to be the difference between a Short Sale and a Foreclosure was about a hundred points on your credit, and a year or two of 'ineligible' loan status.  No more!  Lending rules have changed, and the new Fannie Mae guidelines which have already gone into effect as of May 31, 2008 are FIVE YEARS of ineligible status.  Beginning to sound more like bankruptcy now, isn't it?
Just last week I had a conversation with a client of mine, who was becoming frustrated with the market--so many already foreclosed and bank-owned homes means much less room to move for those considering a short sale.  Some buyers seem to believe (wrongly, might I add), that they will get more of a discount by 'waiting for the bank to take it', but this is also just not the truth--there are just as many opportunities for below-market purchase PRIOR to foreclosure, and the better news is that short sale homes are in MUCH better condition, many times still occupied by the homeowner, and they may come ... more

__________________________________________________
Are you on The Rain? Grow Your Network!