How long short sale stay on credit report

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While Experian Consumer Services uses reasonable efforts to present the most accurate information, all offer information is presented without warranty. Therefore, you likely won't be able to qualify for a loan to purchase a home again for seven years, the length of time the foreclosure will remain on your credit reports. Loan modification: This option involves permanently changing your mortgage.

For example, the lender may agree to reduce your interest rate or give you more time to pay off your past-due amount. You may also qualify for the federal government's Home Affordable Modification Program, which would give you a chance to change the terms of your mortgage.

Loan refinance: If you aren't terribly behind on your payments, you could work with your lender to lower your monthly payments by refinancing your mortgage. If done ahead of time, this would likely have no significant impact on your credit scores.

You may be eligible for the government's Home Affordable Refinance Program. Forbearance agreement: If you are falling behind on your mortgage payments for a temporary reason, such as short-term unemployment, you may qualify for mortgage forbearance. Under a forbearance agreement, the lender would suspend or reduce your mortgage payments for a period of time, after which you would pay back your missed or reduced payments.

Deed-in-lieu of foreclosure: There is a less common option that many believe may have a smaller negative impact on your credit scores than a foreclosure or short sale. The bank may agree to either halt foreclosure proceedings or not pursue foreclosure at all. It is likely, however, that you will have to attempt to sell the property yourself for at least three months before a lender will agree to a deed-in-lieu of foreclosure.

The bank would much prefer that you expend the effort to sell your house than to take on that burden itself. We get it, credit scores are important. No credit card required. Knowledge Center. Reading time: 5 minutes There are few events in life as painful as losing your home.

Short sales It's a commonly held belief that a short sale of your home does less damage to your credit scores than a foreclosure. It's Time for That Loan Whether you are shopping for a car or have a last-minute expense, we can match you to loan offers that meet your needs and budget. The purpose of this question submission tool is to provide general education on credit reporting. The Ask Experian team cannot respond to each question individually.

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Some may not see improved scores or approval odds. Not all lenders use Experian credit files, and not all lenders use scores impacted by Experian Boost. Learn more. Editorial Policy: The information contained in Ask Experian is for educational purposes only and is not legal advice.

You should consult your own attorney or seek specific advice from a legal professional regarding any legal issues. Please understand that Experian policies change over time. Posts reflect Experian policy at the time of writing. Homebuyers should beware of credit repair companies that advertise they can remove shorts sales and foreclosures in 30 days or less. There are many bogus companies that continue to prey on struggling homeowners.

Fully documented loans require borrowers to provide proof of all income that can be fully verified, while stated income loans allow borrowers to simply state their monthly income on a mortgage application, instead of verifying the actual amount by furnishing pay stubs or tax returns.

According to Macc, the government is stepping up audits on stated income loans, since there are borrowers who fudge or embellish their stated income to purchase a home. Information in this story is presented by the Silicon Valley Association of Realtors at www.