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For detailed explanation please visit:http://www.zillow.com/wikipages/What-is-a-Zestimate/
Hello,After conducting a short sale, your credit score will be damaged at least for the next two years. You will be able to purchase a new property, after you do the necessary things in order to repair your credit.
Its a buyers market, don't let a stubborn seller discourage you. If you really like the property go back and negotiate with the seller; otherwise, keep looking and a new opportunity will arise!
No, you will not be able to obtain FHA financing.