Walking away from a home, may cost you more than you think
According to this article, published on AOL's real estate section, if a homeowner simply "walks away" from a mortgage, Fannie Mae is raising the stakes. Here is a short quote from the article:
Here's the breakdown for eligibility depending on how you got out of your last mortgage:
Deed-in-Lieu of Foreclosure> -- reduced from four years to two years if you can put down 20 percent on your house, four years if you can only put down 10 percent.
Preforeclosure Sale -- remains at two years if you can put down 20 percent, four years if you can only put down 10%.
Short Sale -- will be the same as pre-foreclosure sale. Currently there are no set rules for short sale.
Strategic Default (Walk Away) -- seven years.
