Refinance with a short sale on your creditMy husband and I have had perfect credit until we decided to buy an "investment" property for $380K which depreciated to $170K and we decided to do a short sale. The good news for me is that only my husband was on the title of that property, so my credit is still perfect (780+). But here's where things get complicated: We moved out of town and we are renting what used to be our primary residence (for which we have a 5/1 ARM loan and have never been late on any payments). The first 5 years of this loan are almost up!! (In a few months) and so we want to refinance in order to continue to afford it (5 years ago we thought we'd sell the place within 5 years, but with the prices dropping we can't afford to do this, but we CAN afford to keep paying what we're paying now).The problem now is that my husband's credit is affected by the short sale and I'm wondering if this will make it impossible for us to refinance??? We decided to do the short sale so we could save everything else. Now I'm afraid that because of the short sale we'll end up loosing both properties =/I assume there are many like me out there!!! Any thoughts??? By the way, both properties are in Southern California.Thanks!November 20 2009 - US00YesReport a ProblemProblemSelect oneOffensive contentIrrelevant contentSpam (pure self-promotion)OtherDetailsYour emailPlease enter a valid email address.Submit CancelContent flaggedWe will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.We're sorry. This service is temporarily unavailable. Please come back later and try again.