There are no hard and fast numbers, but rather some basic guidelines we feel are accurate.  One of the many moving parts to a short sale is how your agent negotiates with the bank in how the debt is reported on your credit file. 

For instance...

- IF it is reported, "paid as agreed," or equivalent, your score simply needs to rebound from missed or late payments, if any.

- IF your credit report reflects that it was settled for LESS than the debt owed, you may see a reduction of approximately 70 to 100 points.

- IF the house is foreclosured, you may see a reduction of approximately 200 to 250 points and the inability to secure a mortgage for many (up to 7) years.

- IF you negotiate a, "Deed in Lieu," of foreclosure (essentially a voluntary foreclosure without the court process, fees, and expenses), and the terms are properly negotiatied, you may see a reduction of 200 to 250 points.

There is talk that folks may be able to secure a mortgage in as little as two years following a successful short sale, but time will determine if underwriters feel the same way.

Whatever your situation, you NEED a professional on your side that understands and practices short sales on a daily basis.  As a, "Certified Distressed Property Expert (CDPE)," I want to help you and those you know that require our assistance.  We take pride in representing homeowners and alleviating some of the stress in dealing with the bank.  Contact us today for more information and analysis of your circumstances.

_______________________________________________________________

Derek Bauer is an Associate Broker and Realtor® with Real Estate One, Michigan's Largest Real Estate company.  Derek is also the lead of the Derek Bauer's, "Door to Dreams Team."  As a Certified Distressed Property Expert, Derek is helping homeowners avoid, and even reverse, foreclosure.  Learn more at http://DoorToDreams.com.  Derek Bauer is licensed in Real Estate in the State of Michigan, is not an attorney, and can not and does not provide legal advice and/or counsel.