By Jennifer Srock

1. Maintain employment and avoid any gaps between jobs. You will need to show current employment of 24 consecutive months within the time of your purchase.
2. Make sure all of your debts are paid on time with no late payments for at least 24 months.
3. Pay all debts down to 30% or less of the max limit.
4. Pay off all collections, liens, and judgments.
5. Clear off all disputes on your credit.
6. Do not establish new credit such as a new car loan or credit card for a department store or furniture store. Don’t try qualifying for any purchase on credit until after you have the keys to your new home.
7. Maintain your positive credit history. Do not close any accounts in positive standing. 
8. If paying rent, do not pay with cash. Pay on time with checks so you have documentation showing a viable rental history of paying in full on time.
9. Save as much money as possible for your down payment and closing costs.
10. Consider joining a credit monitoring service so you can track the improvement of your credit.

It is true that you may be able to qualify for a mortgage loan within 2 years of having a short sale on a loan other than FHA? However, what you don’t hear is that the qualification will require you to have a significant down payment of at least 20%. Otherwise, you will need to wait longer. Rather than spelling out all the possibilities, I recommend you speak to a mortgage lender about your specific situation rather than relying on generalized information.

I also highly recommend speaking with Cheryl Barber at Nova Home Loans. You can reach her at 520-836-7000 or Cheryl.Barber@NovaHomeLoans.com.

You may also want to check out

“To Sell Or Not To Sell A Short Sale”

OR

“5 Mistakes Causing Buyers To Blow Their Own Deal“.