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Does a short sale hurt your credit?

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What happens to your credit on a short sale?

A short sale will have a detrimental affect on your credit record but not as bad as a foreclosure.


Is it better to short sale a house or refinance to get credit in good standing?

It's better to refinance. A short sale will reflect negatively on your credit record.It's better to refinance. A short sale will reflect negatively on your credit record.It's better to refinance. A short sale will reflect negatively on your credit record.It's better to refinance. A short sale will reflect negatively on your credit record.


How long will you credit be messed up if you are doing short sale?

A short sale is an option when a property owner is not able to afford the obligations of a loan. The amount of time a short sale is on a credit report can be answered by a lawyer who is assisting in the short sale. A short sale may hinder future loans.


How long does a short sale stay on your credit?

10years...


Is a short sale better than foreclosure?

In most cases it is preferable to foreclosure. I disagree. A short Sale has less impact on your credit score than a foreclosure.


Does a short sale affect credit score?

A short sale takes place when a lender accepts less than they are owned on a loan secured by a property in the US. In most cases the borrower was already in default on the loan prior to the agreed short sale. The lender will have already reported the late payments or default and there likely was credit damage. The short sale can be recorded as paid as agreed or various other language. A short sale might show as a negative. Or it will show as the loan being paid off after a number of late payments so the credit file shows an account going bad and then no further activity on that account. A short sale is much better than a foreclosure or bankruptcy filing on one's credit report. Late payments are normally the only real sign of a short sale and late payments have an impact for approximately 12 months before a credit score starts to improve. When dealing with your credit report check it yearly and challenge all items that are not accurate.


Can you buy home after short sale?

Yes you can buy a home after shortsale, remember your credit with be ok for the simple fact it will show you paid your debt of your home by doing a short sale.


What is better a short sale or a foreclosure?

A short sale is always better. I will tell you why very definitively. When you purchase a home on a short sale you are helping a homeowner salvage their credit and dignity and helping them out of a bad situation. You are also preventing a large loss for the bank and getting a great deal for yourself. Everyone wins if it is done correctly. A foreclosure will have a very bad effect on a homeowner's credit and the bank will in most cases take a bigger loss than they would in a short sale. A sellers credit in a short sale will be damaged to a lesser extent than a foreclosure. In most circumstances if you have done a short sale you will not be able to get another loan for two to three years. In a foreclosure it is usually around five years before you can purchase another home.


How does short sell affect credit?

It all depends on how late or how many payments you were late when you start the short sale. In most cases if you get a successful short and your home gets sold it is a lot better than having a foreclosure on your credit report.


Does canceling a credit card after having it for a short time hurt your rating?

Maybe, maybe not. It would depend upon the rest of your current credit situation.


Does it hurt my credit to close a savings account?

no. You will hurt your credit when you close an open line of credit.


How long does a short sale affect your credit?

Iam bout to lose my house soon, getting divorce!. is it recommended to do a short sale? I am concerned about 1099-C taxes I have to pay to IRS and how bad my credit will be if I want to get a cheaper property later on. does enybody know how much afeccts short sales, is it better than a foreclosure! Thanks


How will a short sale effect your credit score?

A short sale will effect your credit score in a negative way. Your credit score will stay on your credit report for some years.


Foreclosure vs short sale?

Ultimately the impact of a foreclosure to your credit rating and ability to borrow in the future is reason to choose the short sale over the foreclosure. Lenders will look more favorably upon a potential borrower that tried to work with the bank (via short sale) opposed to one who just walked away. The short sale process, when handled properly, can even result in a favorable narrative on your credit report, which will minimize the impact to your score. When looking for a short sale specialist, I suggest you make sure that agent has a trained mitigator that will negotiate with the bank on your behalf. Also, the agent you choose should have experience in the short sale market. Hope this helps! If you need more information or have other questions, just ask.


What is a short sale?

A short sale is a sale of real estate in which the sale proceeds fall short of the balance owed on the property's loan. It often occurs when a borrower cannot pay the mortgage loan on their property, but the lender decides that selling the property at a moderate loss is better than pressing the borrower. Both parties consent to the short sale process, because it allows them to avoid foreclosure, which involves hefty fees for the bank and poorer credit report outcomes for the borrowers.


Will voluntary car reposesion hurt your credit?

if i let my vehicle get reposesed will it hurt my credit?


Do forbearance payment affect credit score?

Do forbearance payment affect credit score? Also, if your lenders agree to a short sale and you have not been deliquent on your payments but the lender granted you a forbearance, will your credit score be affected?


What does your credit score need to be to get a home loan?

There is no set credit score. It depends on the bank and your credit history. Some banks do not allow you to get a loan within 2 years of a short sale. Thanks for using answers.com!


Is cost of sale credit or debit?

Credit or debit


Where can I find a price on a short sale?

Many realtors will sell a house as a short sale. However a short sale has to be approved by the bank first.


Can you short sale your house to your spouse?

A short sale must be approved by the lender. It will not approve your proposal.A short sale must be approved by the lender. It will not approve your proposal.A short sale must be approved by the lender. It will not approve your proposal.A short sale must be approved by the lender. It will not approve your proposal.


Is a short sale a bad idea?

its can be good and also it can be bad. Good: you get rid of the house, it will hurt your credit for few year, you get start fresh again. Bad: 1. it depend on the lender and your agreement with the bank that no deficiency judgement if the bank accept short sale. so there could be deficiency judgment. 2. there will be 1099-C mail to you. You may have to pay tax on it as ordinary income. for example: loan amount is $100,000. the bank approve the short sale for $70,000. then they will mail you 1099-C, then you have liable for the amount. But there is a better solution for that at www.wesavehouse.com


Can you purchase a short sale with an fha loan?

Yes, you can purchase a Short Sale with an FHA loan. There are no restrictions on the type of financing in the purchase of a short sale.


Is credit a long or short vowel?

The word, "Credit" has short 'e' and a short 'i'. (kredd-it)


Does applying for school loans hurt your credit?

It should not hurt your credit score unless you don't pay.