So, considering foreclosure vs short sales? here's some interesting facts to consider: *
When can I buy another home? When you lose your property to foreclosure you are ineligible for a Fannie Mae backed mortgage for a period of 5 years. If you short sale your home, you will be eligible for a Fannie Mae backed mortage after only 2 years. go to www.fanniemae.gov for more information.
How about my credit score? With a foreclosure, your score may be lowered by 250 to 300 points. It will remain on your credit for 10 years. For short sales, only late payments on the mortage while the sale is being negotiated will show. The mortgage will be reported as paid or settled If you are still making current payments on all other accounts, this may only lower your score by 50 points!
* Provided by Old Republic Title 1/31/12.