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Real Estate Home Mortgages/Refi primary home after short sale on investment

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Question
Hello,

I had an investment property that closed on 12/31/11 short. My primary home has never been late on a payment (5 years). My credit score right now is 731. I have no negative credit marks outside of the short sale mortgage. When can I start the refi process? I was told 24 months. My wife was not on the short sale. Is there a way for her to refi the house as the primary person on the loan and me as a secondary? She has very good credit (800) and makes $72K. Our loan is $240K. Is there anyway for her to qualify? We are currently in a 20 year and want to refi to a 15 year. Thanks..

Answer
A short sale is considered a foreclosure as far as mortgage qualifying is concerned. You have a 7 year waiting period before being able to do full conforming financing. Your wife can refinance immediately as long as she was not on the short sale mortgage but she would have to qualify without your income as you could not be on the loan. On FHA loans, the wait is 3 years. Conforming  financing is available within 2 years if under 80% LTV or 4 years if under 90% LTV as determined by the appraisal, however, the mortgage insurance may not be available or if Is, it can lessen the benefit of a refinance.  
About Real Estate Home Mortgages
This topic answers questions related to purchasing a home, owning a home, home ownership, mortgage education, mortgage applications, and mortgage needs whether buying a first home or refinancing a current loan. Issues related to home ownership, home equity, mortgage education, refinacing options, home improvment finacing, first time home loans, home equity loans, vactation home loans, and mortgages for investment homes are dealt with here also. Though not the primary focus of this topic, Home Equity Lines of Credits (HELOCS), reverse mortgages, and calculating home equity may also be asked. If you do not see your home mortgae, home finacing, or home equity question answered in this area then please ask a question here

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Wade Conway

Expertise

Conventional Mortgages, FHA Loans, Credit Questions, Qualification, Credit Repair, Credit Score, Loan Types, Interest Rates, Market Movement, Lock or Float, Mortgage backed Securities, Federal Reserve, Secondary Market, Brokering, Lending

Experience

10 Years in the industry, 3 as a Branch Manager for a major US Broker and 1 as a Branch Manager for a top US lender. NMLS ID 157765

Organizations
NAMB Brokers Outpost Mortgage News Daily Bill Sparkmans Circle of Champions Real Estate Investors of Nashville

Publications
Nashville Real Estate Investors www.reintn.net www.brokeroutpost.com www.ascentmortgageplanning.com www.wadeconway.com Mulitiple Blogs have reposted my writings. You can go a Google search for them

Education/Credentials
BA Texas Tech Political Science Mortgage Planner Broker Outpost Inner Circle

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