Waiting Guidelines after a short sale, foreclosure, or bankruptcy – Coldwell Banker Residential Brokerage. - Homepage

 


WAITING GUIDELINES

How long will it take for me to purchase after bankruptcy, foreclosure or short sale?

While FHA may be willing to insure a new loan after one year, I do not know of a lender that will fund the loan regardless of whether FHA will insure it? FHA only provides insurance - they do not lend. Lenders like Bank of America, Wells Fargo, Chase, and George Mason Mortgage follow the guidelines listed below.

2012’ FHA Waiting Guidelines

Bankruptcy – You may apply for an FHA insured loan after your bankruptcy has been discharged for TWO (2) years with a Chapter 7 Bankruptcy.

You may apply for an FHA insured loan after your bankruptcy has been discharged for ONE (1) year with a Chapter 13 Bankruptcy

Foreclosure - You may apply for an FHA insured loan THREE (3) years after the sale/deed transfer date.

Short Sale / Notice of Default – You may apply for an FHA insured loan THREE (3) years after the sale date of your short sale. FHA treats a short sale the same as a Foreclosure for now.

Credit must be re-established with a minimum 620 credit score

 

2012’ VA Waiting Guidelines

Bankruptcy - You may apply for a VA guaranteed loan TWO (2) years after a Bankruptcy

Foreclosure - You may apply for a VA guaranteed loan TWO (2) years after a foreclosure

Short Sale - You may apply for a VA guaranteed loan TWO (2) after a short sale, unless it was a VA loan then restrictions apply

Credit must be re-established with a minimum 620 credit score

2012’ Conventional Waiting Guidelines (Fannie Mae)

Bankruptcy – You may apply for a Conventional, Fannie Mae loan after your bankruptcy has been discharged for FOUR (4) years.

Foreclosure - You may apply for a Conventional, Fannie Mae loan SEVEN (7) years after the sale date of your foreclosure. Additional qualifying requirements may apply,

Short Sale / Deed in Lieu of Foreclosure -

TWO (2) Years up to Maximum 80% Loan to Value | 20% Down Payment

FOUR (4) Years up to Maximum 90% Loan to Value | 10% Down Payment – Subject to Private Mortgage Insurance underwriting guidelines.

SEVEN (7) Years above 90% Loan to Value | with less than 10% Down Payment – Subject to Private Mortgage Insurance underwriting guidelines.

Credit must be re-established

with a minimum 660 credit score

 

 

 

 

Fannie Mae has reduced waiting periods in cases of extenuating circumstances – The death of a primary wage earner seems to be the only one I have been able to identify up to this point.

What to do in preparing to buy again after bankruptcy (BK), short sale or foreclosure?

 

You should begin with a credit review, at least six (6) months before you are ready to buy again.  Quite often there are things left over on your credit report that can delay your ability to qualify.  With a little head start and good advice, we can get your credit in line to qualify for financing and be ready to buy again.

 What's Next -- Want to Know More?

As an experienced Realtor, contact me if you are considering the attempt of a short sale and before you give up and allow your home to be foreclosed.  I'll work with you and your lenders to provide the help and relief you need.

If you have already been through the above, let's talk about getting you into a new home.  We'll work with the loan officers from the plan to the move. 

Contact David Houghtaling at Coldwell Banker

 

These guidelines were supplied by George Mason Mortgage on February 17, 2012. Please contact me, or talk with your lender, CPA or attorney for specifics to your circumstances.  If you are considering selling with a short sale, wondering about foreclosure, and have already been through one of them, please contact me.  Your choice.  Fill in the form below, email or call me.  Let's start.  David

 

 

Waiting Period Guidelines

If you are considering the need to do a short sale, whether or not you
move forward with one, it's generally better that we sit down and
discuss your options sooner rather than later.

If you have already completed a short sale or had your mortgage
foreclosed and are wondering what to do next, please feel free to get in
touch with me.

And if you have had a discharged bankruptcy and are interested in
seeing if you can get back into the market, let me know.

If I can answer questions for you ...
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