The Official NACA mortgage thread

[Challenger708]

Hi NACA_ONLINE,
Do you have to be out of Chapter 7 Bankruptcy for a certain time frame? Also, what if I do it pay rent?

[Challenger708]

I'm sorry typo, meant to say what if I DON'T pay rent?

[Anonymous]

Hello dabrian,

You do not have to be a first time home buyer to use the NACA program, but you may not have an ownership interest in any other property to buy through the NACA Purchase Program.

You will at the very least have to have the current home under contract to be sold before you can buy through NACA.

Tim Trumble

Online Operations, NACA

ttrumble@naca.com

[Anonymous]

Hello Challenger708,

Your bankruptcy must have been discharged for 24 months before you can close on a home through NACA.  If you do not pay rent, you will be required to show a minimum of six months consistent savings of at least the amount of your desired mortgage payment.

Tim Trumble

Online Operations, NACA

ttrumble@naca.com

[dabrian]

Thank you for your help. That sounds great, plan is to get started with the NACA process when we have a buyer under contract.

[Challenger708]

NACA_Online,
So do you mean if I desire a $1,300/month mortgage, I would have to save $1,300 a month? Also, if I have a significant other who hasn't filed bankruptcy, would that make any difference or would still have to wait the 24 months? And I signed of for a workshop in October which would have me 15 months since filed, should I wait and do another workshop at later time?

[Anonymous]

Hello Challenger708,

If you are not paying rent, you will indeed have to save $1300 per month if that is that mortgage payment you want. Payment Shock Savings is the difference between your current rent payment and your desired mortgage payment. It is the means by which you prove that you can make the proposed payment each month. In short, if you can't show that you can make the payment now, how are you going to have it each and every month without fail when you buy a home?

The income and financial picture of all houshold members are considered in the NACA process, but your significant other's lack of a bankruptcy does not eliminate your bankruptcy from the picture. You will still have to wait the 24 months before you can buy, but you still need to go to the workshop and start the process now.  This way, your counselor can advise you on what exactly needs to be accomplished so you can buy as soon as the 24 month peiod has ended.

Tim Trumble

Online Operations, NACA

ttrumble@naca.com

[Challenger708]

Ok, thank you very much for your responses. Just had one more question for the moment. From what I'm reading, credit scores don't play to much of a factor here? At the moment, my mortgages scores are 681(Trans) 653(Exp) 659(Equ).....at what point in the process are they going to do hard pulls on my credit?

[Raiderguy8]

When you have your first meeting with your MC.  I had my meeting two weeks ago and they pulled it then and I got alerts right after it happened.  None of my scores even flinched.

[Challenger708]

Thanks Raiderguy8, I appreciate the response. I'm just a little paranoid that since I can't actually close until July, will they keep doing hard pulls every month?... which will drop my score. I know from friends that's went through the process with the FHA that took more than a couple months the lender was doing hard pulls every 30 days.