In other words…there will be “life (home ownership) after Short Sale.”
This may help a few Homeowners who have already “short sold” their home…or it can make a big difference to your future Homeowners who are considering a “short sale” in the future.
FHA has financing for homeowners who are short selling their home and want to repurchase another home after the short sale is approved and completed thru their current lender.
There are a number of home owners who will qualify for this program by meeting the “extenuating circumstances” criteria.
The FINE PRINT:
1) The Homeowner must be current on their mortgage and all other credit obligations for the 12 months prior to the actual short sale completion date.
2) Home owners must document “hardship” defined as:
a) Job loss and subsequent job transfer/ relocation… (a new stream of income will be needed to qualify for the new loan).
b) Catastrophic medical bills (and/ or possible death) incurred by a member of the borrower’s “nuclear family” (i.e. co signer of the current mortgage..child…spouse..or other dependent as listed on the borrower’s tax returns).
The Homeowner must be downsizing and relocating. Buying a bigger home across the street will not fly.
The Homeowner’s current lender(s) must be willing to approve the short sale of their current residence.
The Homeowners credit scores need to be above 620 and any outstanding collections (usually medical bills) need to be paid THRU ESCROW (ONLY) at COE.
Trackbacks/Pingbacks