Glancing through this morning’s Wall Street Journal, a major article with a sub-title ‘Boomerang’ Home Seekers Become Eligible for Mortgages and Hit Market Again, caught my attention.

I’ve known that if a homeowner does a short sale, and keeps all their other finances current, they could qualify for new financing in as little as 2 – 3 years. But even those who had their home foreclosed, the FHA is willing to consider providing the guarantee necessary for financing that new loan.

The WSJ quotes the president of the mortgage arm of the large home builder Hovnanian as saying “The industry is saying, ‘Pay your dues and then get back into the market'”. This photo is from the WSJ article and references the Martinez family who lost their CA home in foreclosure in 2007 but just closed escrow on their new home.

Leslie and I personally haven’t worked with a buyer from that situation yet, but for all our prior short sellers, we encourage them with that future goal!