How does a short sale impact my credit?

The answer to this question involves many unique variables.  Each lender has a different way of reporting that a short sale was completed. The most common language used is “Paid in full for less than the full amount.”  As you may already know there are 3 major credit reporting agencies and if you are behind on mortgage payments your bank has the right to report any delinquency beyond 30 days past due to all agencies. This in itself can have a direct impact on your credit score.   In some cases we have successfully completed a short sale without homeowners missing any payments.  However, we strongly advise that you work with a credit counseling agency or scoring expert for more specifics on this topic.

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