Qualifying For FHA Loan After Short Sale

Requirements For Qualifying For FHA Loan After Short Sale

Home Buyers can qualify for FHA Loan After Short Sale. Qualifying for FHA Loan After Short Sale requires mortgage loan borrower’s to wait out a mandatory waiting period after short sale and FHA requires no late payments after short sale as well as re-established credit after short sale. The mandatory waiting period in qualifying for FHA Loan After Short Sale is three years from the date of the short sale. The three year waiting period start clock starts from the date of the short sale that is reflected on the HUD-1 Settlement Statement closing papers. The mortgage loan application when qualifying for FHA Loan After Short Sale cannot be dated prior the three year waiting period has elapsed. The mortgage loan borrower can have a real estate purchase contract that has been dated prior the short sale date but cannot received mortgage documents and disclosures prior to the three year anniversary short sale date. The FHA Appraisal can be ordered prior to the three year short sale date.

No Waiting Period After Short Sale If Mortgage Payments Have Been Timely Up To Date Of Short Sale

There is no waiting period in Qualifying For FHA Loan After Short Sale if the homeowner has been timely on their mortgage payment until the date of their short sale. Unfortunately, many banks and mortgage lenders will force the homeowner to be 30 days late on their mortgage payment in order to have the short sale in effect. Make sure if you are going through a short sale process currently that you do not skip any payments and be timely on your mortgage payment until the date of your short sale. A 30 day late payment on your mortgage payment will mandate a 3 year waiting period in Qualifying For FHA Loan After Short Sale, whereas if you are timely on your mortgage payments until the date of your short sale, there will be no waiting period in Qualifying For FHA Loan After Short Sale. Home buyers can qualify for a FHA Loan one day after their short sale if they have been timely on their mortgage loan payments until the date of their short sale closing.

Other Requirements In Qualifying For FHA Loan After Short Sale

Besides the mandatory waiting period after short sale, to qualify for FHA Loan After Short Sale, the borrower needs a minimum credit score of 580 FICO. Mortgage lenders do not want to see any late payments after short sale and wants to see that mortgage loan borrowers have re-established credit after short sale. Home Buyers can qualify for FHA Loans with outstanding collection accounts and charge offs without having to pay them off. However, FHA approved mortgage lenders do not want to see any new collection accounts that has been activated after the short sale has been final. If you are looking in Qualifying For FHA Loan After Short Sale, please contact me at 262-716-8151 or email me at gcho@gustancho.com. We have no lender overlays on FHA Loans and as long as you meet the minimum FHA Lending Guidelines, we will approve your FHA mortgage loan.

The information contained on Gustan Cho Associates website is for informational purposes only and is not an advertisement for products offered by The Gustan Cho Team @ Gustan Cho Associates or its affiliates. The views and opinions expressed herein are those of the author and/or guest writers of Gustan Cho Associates Mortgage & Real Estate Information Resource Center website and do not reflect the policy of Gustan Cho Associates Lenders Network, its officers, subsidiaries, parent, or affiliates.

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