Mortgage After Timeshare Foreclosure With No Waiting Period
This Article Covers Mortgage After Timeshare Foreclosure With No Waiting Period.
A timeshare foreclosure is not a real estate foreclosure. Timeshare loans are classified as installment loans and NOT real estate loans. Therefore, there are no waiting period requirements after a timeshare foreclosure. Here are the points we will be covering in this blog:
- Timeshares are not real estate loans but rather an installment loan
- What are timeshares
- Qualifying for a mortgage after a timeshare foreclosure
Borrowers with a timeshare foreclosure do not have to worry about a waiting period after a timeshare foreclosure.
Timeshares are Classified As an Installment Loan
Great News for home buyers with prior timeshare foreclosure.
There are no waiting period requirements to qualify for a mortgage after a timeshare foreclosure. Many borrowers give up shopping for a mortgage after being told there is a waiting period requirement. The other lenders do not know their mortgage guidelines.
Some mortgage underwriters treat timeshare foreclosures as real property foreclosures. They mandate a three-year waiting period after a timeshare foreclosure to qualify for FHA Mortgage After Timeshare Foreclosure.
Under HUD Guidelines, a timeshare is not considered real estate, and is a timeshare mortgage is considered an installment loan.
How Do Timeshares Work Explained
What are Timeshares And How Do Timeshares Work?
Timeshares are where multiple individuals share ownership of a property, Each timeshares shareholder has a set-aside time each year to occupy the property for themselves and their families.
These units are owned by individuals who do not know each other unlike single-family residential properties.
Vacation destination spots like Florida, Washington DC, Mississippi, Arkansas, Ohio, Wisconsin, Kentucky, New Mexico, Oklahoma, Colorado, Missouri, Kansas, Alabama, Tennessee, Virginia, California, Iowa, Illinois, Wisconsin, Michigan, Hawaii, South Carolina, California, North Carolina, Nevada, Utah, Colorado, and other hot vacation destination spots are popular for timeshares.
How Do Timeshares Work
Typical timeshares are complete residential units that consist of bedrooms, bathrooms, a living area, a dining area, and a fully functional kitchen.
Most of them are condominiums but there are timeshares that are townhomes and detached single-family homes.
Many timeshares have amenities such as the following:
- Tennis courts
- Other recreational areas
They are mostly located in a resort or resort-like atmosphere.
What Is A Typical Timeshare Program
Time share owners have a certain amount of days or weeks to enjoy their slot in their timeshares.
- Most timeshares ownership allows one week out of the year where the owner of the timeshare can enjoy their timeshares.
Owners will need to pay a nominal fee to stay at their timeshares and the price varies depending on the time of the year.
Timeshare properties are bought or sold like other assets.
There are various reasons why investors purchase timeshares. Some purchase it for investment purposes only while others purchase it as a vacation home so they can enjoy it with their families and can also see their investment appreciate.
They can also rent it out to others or let friends and/or family use it when their time slot comes up.
Benefits Of Time Shares
Owners of timeshares can also exchange their timeshares with other owners at other locations.
For example, those who own a timeshare in Orlando, Florida, and want to go skiing in the winter can swap timeshare with a timeshare owner from Vail, Colorado. They can go skiing and the Colorado timeshare owner can visit the Sunshine State and visit Disney World.
Timeshares can be an excellent choice for those who go on vacation year after year and if timeshare owners are creative can enroll in a timeshare exchange program with timeshare owners around the world.
Qualifying For An FHA Mortgage After Timeshare Foreclosure
Gustan Cho Associates is available anytime 7 days a week at 262-716-8151. Or text us for faster response. Or email us at [email protected] Gustan Cho Associates have helped countless borrowers get mortgages after timeshare foreclosure. Many borrowers have contacted us after being told that they do not qualify for a mortgage after timeshare foreclosure by other lenders. Gustan Cho Associates has no mortgage overlays on government and conventional loans.