Qualifying For Home Loan After Bankruptcy
This BLOG On Advice On Qualifying For Home Loan After Bankruptcy Was Written By Gustan Cho NMLS 873293
Qualifying for home loan after bankruptcy is no problem as long as you have waited two years after the bankruptcy discharge date for FHA Loans and after a 4 year waiting period after the bankruptcy discharge date for conventional loans. The 2008 Real Estate Meltdown was the worst economic disaster that not just affected the United States but the whole world. Never since the Great Depression has the real estate meltdown of 2008 affected so many people. Millions of Americans has lost their jobs, lost their businesses, and lost the hard earned equity in their homes. Millions of hard working American workers who have retired have been forced to go back to work. Homeowners who put 20% down payments on their home purchases just not long before the real estate meltdown of 2008 has seen the equity of their homes disappear literally overnight and many were left with homes that the balance of their mortgage loans were much higher than the actual value of the market value of their homes. Million of Americans were forced into bankruptcy and millions more had to foreclose on their homes because they could no longer afford their monthly mortgage payments. The good news is that you can now qualify for home loan after bankruptcy but there are mandatory waiting periods to qualify for home loan after bankruptcy depending on the mortgage loan program.
Qualifying For Home Loan After Bankruptcy And Waiting Period
Qualifying for home loan after bankruptcy requires the mortgage loan borrower to have passed a mandatory waiting period of 2 years from the discharged date of the Chapter 7 Bankruptcy. To qualifying for home loan after bankruptcy with a conventional loan there is a mandatory waiting period of four years after the discharge date of the bankruptcy. There is a one year waiting period to qualify for a FHA Loan after a Chapter 13 Bankruptcy filing date with the approval of the Chapter 13 trustee and the approval of the United States Bankruptcy Court. There is no waiting period after a Chapter 13 discharged date to qualify for a FHA Loan. There is a four year waiting period to qualify for a conventional loan after a Chapter 13 dismissal date. There is a two year waiting period after a Chapter 13 discharged date to qualify for a conventional loan. All bankruptcies, whether they are Chapter 7 Bankruptcies or Chapter 13 Bankruptcies are reported to all three credit reporting agencies.
Can I Get My Bankruptcy Removed From Credit Report With Credit Repair?
All negative items such as bankruptcies, foreclosures, short sales, deed in lieu of foreclosures, unpaid collection accounts, tax liens, delinquent accounts, charge offs, and judgments can be removed from a person’s credit report by savvy credit repair consultants who knows the loopholes in the credit laws. I have seen many consumer’s get their derogatories such as bankruptcies and foreclosures and other negative items completely wiped off their credit report. One such company that offers such services is Credit Fix Advisors, www.creditfixadvisors, and for a small fee, they can get most, if not all, derogatory items deleted off your credit report. Credit Report works and yes, you can get bankruptcies, foreclosures, judgments, charge offs, unpaid collection accounts, and late payments deleted off your credit report.
Can I Qualifying For Home Loan After Bankruptcy If Deleted Off My Credit Report?
As mentioned in the previous paragraph, reputable credit repair companies like Credit Fix Advisors , www.creditfixadvisors.com , can often remove bankruptcies, foreclosures, deed in lieu of foreclosures, short sales, judgments, unpaid collection accounts, charge offs, and other derogatory items off your credit report. After you get your bankruptcy deleted off your credit report, the chances are that you will get an automated approval by the automated underwriting system because the automated underwriting system will not recognize that you have a bankruptcy on your credit report since you got it deleted off your credit report. However, mortgage lenders will order a third party public records report by a third party servicer where they search public records on mortgage loan applicants. Even though your bankruptcy, foreclosure, short sale, deed in lieu of foreclosure may be deleted off your credit report, that does not wipe out the public records. Third party public record investigative servicers such as Lexis Nexis will catch that and if you have not passed the mandatory waiting period after bankruptcy and/or foreclosure, you will get caught. Same with judgments. Judgments are public records and credit repair companies can delete judgments off your credit report, however, third party service providers will catch those who have judgments. On another note, when you complete the 4 page 1003 mortgage loan application, you need to complete a questionairre and on that questionairre, you will be asked whether or not you have filed bankruptcy, foreclosure, or have a judgment. If you checked no and if you indeed have a bankruptcy, foreclosure, or judgment, you are committing Mortgage Fraud which the feds do not take it lightly and is a felony. Deletions such as collection accounts, charge offs, derogatory credit do not matter because they are not public records.
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