So many of us are, or know someone, who is up-side down on their home loan. It causes frustration, disappointment, and financial distress. What are the options, and who should you talk to? Should you Foreclose or short sale? Do you want to purchase immediately afterwards, and how soon? You may find yourself contemplating these questions, and don't know who to turn to. Please read my blog below for useful information you may not be aware of.
Look beyond all the negatives, be optimistic, there is hope!
Did you know that after a real estate short sale, you can purchase immediately following, however you need to follow these guidelines to qualify:
- Seller must not be late or default in payment, no later then 60 days plus! It's a reason to be current on your current motgage if you are considering purchasing a home soon after.
- All mortgages and installation debts were paid within the month due for a 12 month period proceeding the short sale.
- Borrower has the capacity to pay the new loan.
Short Sales-NOT ELIGIBLE
- Borrows who took advantage of declining market conditions and, and purchased at a reduced price.
- Borrows in default of their mortgage at the time of the short sale (or pre-foreclosure sale) are not eligible for three years from the date of the pre-foreclosure sale.
Note: Borrowers who sold a property under FHA's pre-foreclosure sale program are not eligible for a new FHA mortgage for three years from the date of the FHA paid the claim associate with the pre-foreclosure sale.
The waiting period for a purchase after a short saleif you are late or in "pre-foreclosure" is 2 years. But, remember you can avoid the waiting period and purchase immediatly after a short sale, there are options for you and now you know.
If you would like more information or have questions. Please contact me at 707.816.1337. Remember you are not alone, and I am here to help you. Also check out www.kimbringsuhomes.com
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