Short sales and foreclosures equally lower FICO scores

I don’t pretend to be a credit expert and make sure to always consult someone who is but I found this to be a informative article especially since so many are experiencing short sales and foreclosures.

A short sale is better over time as long as you don’t have a deficiency judgment for the loss that the bank took with the sale.

“FICO said homeowners with short-sales and foreclosures on their records ended up with similar credit scores, assuming their scores were similar as distressed homeowners (see illustration below).”

http://www.housingwire.com/2011/04/22/short-sales-and-foreclosures-equally-degrade-fico-scores