Qualifying For Home Loan With Late Payments After Bankruptcy

This Article Is About Qualifying For Home Loan With Late Payments After Bankruptcy

Qualifying For Home Loan With Late Payments After Bankruptcy will be difficult with many lenders. However, Gustan Cho Associates has helped countless folks with late payments after bankruptcy qualify for mortgage loans.

  • The impact of the 2008 Real Estate and Mortgage Meltdown of 2008 has forced many Americans into bankruptcy and foreclosure
  • The whole mortgage industry went through a complete overhaul
  • New mortgage lending guidelines were implemented by the government 
  • The government and mortgage industry regulators realized that many hard-working families went through bankruptcies and foreclosures
  • This was due to the economic meltdown and they scrambled to find a solution for potential homebuyers who had a prior bankruptcy and foreclosure to be eligible to become homeowners again
  • The good news is those home buyers can be eligible to purchase a home after bankruptcy and foreclosure
  • However, the government has set strict mandatory guidelines with regards to waiting periods and credit after bankruptcy and foreclosure to qualify for a home loan
  • Depending on the loan program, people who had a prior bankruptcy can now qualify for a home loan

In this article, we will cover and discuss Qualifying For Home Loan With Late Payments After Bankruptcy.

Qualifying For Home Loan With Late Payments After Bankruptcy And Waiting Period

 

There is a mandatory waiting period after bankruptcy a potential home buyer needs to adhere to in order to qualify for a home loan.

  • The mandatory waiting period for FHA Loans is two years from the date of the bankruptcy discharge date to qualify for a home loan
  • There is a mandatory four-year waiting period to qualify for a conventional home loan after the discharge date of Chapter 7 bankruptcy
  • There is a four-year waiting period after the Chapter 13 bankruptcy dismissal date
  • There is a two-year waiting period after the Chapter 13 bankruptcy discharged date

Gustan Cho Associates offers non-QM loans one day after bankruptcy with a 30% down payment with no waiting period after bankruptcy, foreclosure, short sale, deed in lieu of foreclosure.

Solution With Qualifying For Home Loan With Late Payments After Economic Event

What is Solution With Qualifying For Home Loan With Late Payments After Bankruptcy

Most mortgage lenders have their own mortgage lender overlays with regard to late payments after bankruptcy.

  • Majority of lenders will not approve a mortgage loan applicant who has had late payments after bankruptcy
  • Late Payments after bankruptcy and/or foreclosure is considered a very serious offense
  • Most lenders will automatically disqualify borrowers with late payments after bankruptcy and/or foreclosure and consider it a second offender

The good news is that late payments after bankruptcy and/or foreclosure is not a mortgage guideline but rather overlays by individual lenders.

Late Payments After Bankruptcy And A Housing Event

Gustan Cho Associates Mortgage Group has helped countless borrowers with late payments after bankruptcy and/or foreclosure:

  • They expect that once a consumer has had their bankruptcy discharged that they re-establish their credit and be timely on all of their monthly minimum credit obligations
  • Unfortunately, extenuating circumstances do happen and some folks do have late payments after bankruptcy
  • A large percentage of our borrowers are folks who were turned down by other lenders due to having late payments after bankruptcy
  • Mortgage borrowers who have had late payments after bankruptcy, please contact us at 262-716-8151 or text us for a faster response

Or email us at [email protected] and our team of mortgage professionals will be able to help.

Advice On Qualifying For Home Loan With Late Payments

Gustan Cho Associates can help borrowers get mortgage loan approvals with late payments after bankruptcy.

  • We have no mortgage lender overlays
  • We just go off the automated approval rendered by the automated underwriting system 
  • The best way to overcome late payments after bankruptcy is to add more positive credit
  • By adding positive credit is by getting 3 to 5 secured credit cards and make sure not to be late on minimum monthly payments
  • Another thing to do is if consumers had a one-time late payment after bankruptcy, they can contact their creditor and see if they can remove the late payment off the credit report
  • For consumers who had a good payment history with their creditor and just have a one time 30-day late payment, many creditors will remove the late payment off the credit report as a courtesy
  • If the customer service agent says no, then kindly ask to speak to a supervisor and they may show more compassion and may delete the late payment of the credit report

Potential homebuyers who have had late payments after bankruptcy and getting denied by lenders please contact us at Gustan Cho Associates at 262-716-8151 or text us for a faster response. Or email us at [email protected]  Over 75% of our borrowers are folks who could not qualify elsewhere due to their lender overlays but we get them qualified and closed.

Related> Qualifying For Mortgage After Bankruptcy And Foreclosure

Related> Guidelines On Mortgage After Bankruptcy

Related> Mortgage After Bankruptcy: Waiting Period Guidelines

Comments: 4

Pingbacks and Tracebacks

  • I am separating from the military and my family and I need to get a home so we have a place to live, I have been working on my credit for about a year now and have brought my score up over 100-120 pts within the past year. But I have been denied pre-approval with 2 other companies so far.

  • Hi Gustan,

    It’s Yen and I’ve contacted you before regarding refinancing my mortgage. My husband tried to refi through our current servicer and was told our DTI was at 45% and we need it to be at 43% to qualify. Would you be able to help us qualify through another high DTI lender?

    Thank you,

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