Recent change to Fannie Mae’s guidelines may affect the ability of potential home buyers who short sold homes in the past four years to qualify for a new loan. For the past few years, Fannie Mae has been considering applications from formerly distressed homeowners who short sold their homes after a two year waiting period from the sale. Starting August 16, Fannie Mae is adopting new guidelines that push this waiting period up to four years, unless there are extenuating circumstances (in which case they might shorten the waiting period.)
Until August 16th, the two year guidelines still apply. If you experienced a short sale within the last four years and are in the market for a home using a loan, you need speak with a lender NOW in order to get prequalified and meet the requirements BEFORE August 16th in order to fall under the two year guidelines. Time is quickly running out!