Fannie Mae Furby

Hi Paul!

I’m in the process of attempting to get a FHA loan, however right at the end of the underwriting process I was denied b/c of a short sale reported toward the end of last year. 

I have steady W-2 income and 700+ credit score.  My payments on my previous property were current through the date of sale, but the bank reported to 1 out of 3 credit bureaus: “Account paid satisfactory for less than agreed”. 

This shows negative and apparently underwriting is proactively denying the loan in anticipation of a new FHA stipulation treating short sales same as foreclosures. 

Any advice on this?

Furby

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Hi Furby,

I would switch that from FHA to a FNMA Conventional loan.  At present, FHA requires a three-year wait for what you’ve described whereas FNMA would allow you to qualify immediately.

Read: Susy’s Short Sale

Thanks for the questions and inquire about a Fannie Mae loan.

Paul