🏠 Calculator

Short Sale vs. Foreclosure Credit Impact

Before making a decision, see what each option does to your credit score and how long it takes to recover.

See how each option affects your credit score and how long it takes to recover.

Current Credit Score: 700 (Good)

300500650750850

Which option are you considering?

Foreclosure

Lender takes back the home through legal process

Short Sale

Sell home for less than owed, lender approves

Deed in Lieu

Sign over deed to lender voluntarily

Current score

700

After foreclosure

540 - 615

Estimated score drop-85 to -160 points

Stays on credit report7 years

Recovery time7-10 years

Factor	Foreclosure	Short Sale	Deed in Lieu
Score drop	-85 to -160	-50 to -130	-50 to -125
On credit report	7 years	2-7 years	4-7 years
Deficiency risk	Higher	Lower	Varies
Wait for new mortgage	3-7 years	2-4 years	2-4 years

Considering a short sale? CDPE-certified agents specialize in negotiating with lenders on your behalf.