As part of my website, I offer an "Ask an Expert" tool to help folks with various questions. Today I had this one.... "We currently have excellent credit FICO of close to 800. We will be relocating to Salt Lake City in a few months and need to sell our home in California. However, we will be selling our current home Short. I've read FHA guidelines and it states that if you are current on your mortgage at the time of a short sale you can immediately qualify for a new FHA loan. However, I've also read that no lenders are willing to step up to the plate so that "guideline" makes that senerio a fallacy. My husband's new job is in the same feild he has been working in for 10 years and other than the short sale we have perfect credit. Will we be able to get a mortgage to purchase a new home in Utah?"
Well first the answer is NO - duh! Second - and I'm not looking to judge anyone here, seriously, if you were the bank and a consumer who hasn't finished defaulting on their existing loan asked you for a new one - would you lend them money? Especially shocking.. "no lenders are willing to step up to the plate"... are folks that far removed from their situation to even understand what they're asking for? Your thoughts?