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How Does a Short Sale Impact Your Credit Score? Since you didnât repay the full debt as agreed, a short sale may significantly impact your credit score. Even if your payments were never late, the mortgage will remain on your credit report seven years from the date it was reported settled or paid.
Typically the short sale wait time is 3 years after a short sale for FHA loans (minimum3.5% down payment), 4 years after a short sale for Conventional Loan (minimum 5% down payment), and 2 years after a short sale for VA loans (zero downpayment).