Mass Home Relief FAQ

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Short Sales FAQ

How Will My Ability to Buy Another Home be Affected?:

FORECLOSURE SHORT SALE As of May, 2008, if your property is lost through foreclosure you will NOT be eligible for a Fannie Mae-backed mortgage 4 years. As of May, 2008, if you succeed with a short sale on your home, you will be eligible for a Fannie Mae-backed mortgage after only 2 years. How Will My Ability to Buy Another Home be Affected?

How Will My Ability to Buy a 2nd Home or Investment Properties be Affected? :

FORECLOSURE SHORT SALE Here again, if you lose your home through foreclosure same as above except Fannie Mae will not consider you for an investment mortgage for a full 7 years. you must wait a full 2 years before you are eligible for a Fannie Mae-backed mortgage on a 2nd home or investment property How Will My Ability to Buy a 2nd Home or Investment Properties be Affected?

Will I Be Able To Obtain Conventional Financing?:

FORECLOSURE SHORT SALE If you can even get approved for a new conventional loan, the odds are you will pay a significantly-higher rate of interest on your loan. No definite answers on this one from the major lenders since it is new territory, but most people in the know feel the effect won’t be as bad as a foreclosure will. Will I Be Able To Obtain Conventional Financing?

How Will My Credit Score be Affected?:

FORECLOSURE SHORT SALE A foreclosure is likely to lower your credit score by between 225 and 350 points and remain for up to 10 years . New credit will become harder to obtain and interest will be higher. In this case, your credit report will only show late mortgage payments. The account will be reported as either paid or settled. Can’t be certain, but your credit score may only go down by 50 points due to a short sale alone. How Will My Credit Score be Affected?

What Will Happen to My Credit History?:

FORECLOSURE SHORT SALE Your foreclosure will remain on your credit report for 10 years and also be available on searches of public records. A short sale will not appear on your history or have any meaningful effect. What Will Happen to My Credit History?

What If I Need a Security Clearance for My Job:

FORECLOSURE SHORT SALE Other than a felony conviction or serious misdemeanor, nothing will affect your security clearance as much as a foreclosure. If you already have one, it will likely be revoked. In itself, a short sale won’t affect your application for a new security clearance. There should be no effect at all. What If I Need a Security Clearance for My Job

How Will My Current Employment be Affected?:

FORECLOSURE SHORT SALE If you have a sensitive position in a company, a foreclosure which is shown your credit report could get you reassigned to a less sensitive job or even terminated. A short sale is not reported on your credit report and should, therefore, be of no effect on your employment at all. How Will My Current Employment be Affected?

Will My Future Employment be Affected?:

FORECLOSURE SHORT SALE Most employers require a credit check as part of their initial screening process. A foreclosure will be evident and can be extremely detrimental to their decision. Most employers check your credit report before hiring you, but since a short sale is not reported, you won’t have a problem. Will My Future Employment be Affected?

Will There be a Deficiency Judgment?:

FORECLOSURE SHORT SALE Most banks in most states have a right to seek a 100% deficiency judgment against a foreclosed borrower. Most experienced short sale negotiators aim for the debt being fully paid. And, it won’t be easy to get! Will There be a Deficiency Judgment?

How Much Will a Judgment be For?:

FORECLOSURE SHORT SALE If a foreclosed home does not sell at auction, it will have to go through the REO process . Due to costs and fees, odds are you’ll owe more in this case. It’s likely that a deficiency judgment will be less than from a foreclosure, even if the short sale is at a lower wholesale price due to market conditions. How Much Will a Judgment be For?

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SHORT SALES!!!!

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CONTACT US AT: www.masshomerelief.com Phone: 781-740-9003 Fax: 781-740-4445 Email: info@masshomerelief.com Mass. Home Relief, LLC One Derby St. Suite Five Hingham, Ma. 02043