topic Re: 2 years post bk mortgage ready? in Bankruptcy

2 years post bk mortgage ready?

ChistineNJ — Fri, 01 May 2015 01:03:19 GMT

Hello board, in about 60 days ill be 2years post bk i am wondering if anyone has actually been approved for a mortgage 2 yrs post?

Fyi i learned so much from this board and i was able to rebuild right away

Re: 2 years post bk mortgage ready?

cem13 — Fri, 01 May 2015 01:33:09 GMT

@ChistineNJ wrote:
Hello board, in about 60 days ill be 2years post bk i am wondering if anyone has actually been approved for a mortgage 2 yrs post?
Fyi i learned so much from this board and i was able to rebuild right away

Hi ChistineNJ,

You will qualify for FHA and a few other government backed mortgages 2 years post DISCHARGE. A conventional mortgage will require 4 years post BK7 discharge. There are a few exceptions. One of which is if you find a Credit Union or small regional bank that keeps the loan "in-house". This means they will not sell your loan to Freddie or Fannie. These mortgages have other special hoops to jump throught however.

So I would recommned you look into an FHA loan. I closed on my FHA (15 year) and my PMI is only $30 per month. I could have waited until the 4 year mark in June but I wanted to take advantage of the lower rates. I watch the markets closely and the FOMC has been talking about raising the Federal Funds rate in June. Mortgage rates are tied to the Federal Funds Rate.

So I took a gamble and did a short sale on my house (I did not reaffirm) so I had to pay the PMI. If the rates rose by 1/4 point, I would have paid about $30 per month. If the rates rose 1/2 a point (.5%) than my payment would have been more than $30 per month.

Good luck and FHA is a good option for you.

Re: 2 years post bk mortgage ready?

Scupra — Fri, 01 May 2015 03:41:58 GMT

@ChistineNJ wrote:
Hello board, in about 60 days ill be 2years post bk i am wondering if anyone has actually been approved for a mortgage 2 yrs post?
Fyi i learned so much from this board and i was able to rebuild right away

Call around to different lenders and find one who has worked with BK'ers. I did this and found a great lender FHA would probably be your best bet like mentioned. There will be a min score that is different for every lender. Good luck and keep us posted during your journey to a new home

Re: 2 years post bk mortgage ready?

ChistineNJ — Sun, 03 May 2015 00:55:32 GMT

would you guys think id have sucess with NFCU? my would be co borrower is eligible for a VA loan and NFCU is my primary bank, my coborrower does not have bk status on his report

Re: 2 years post bk mortgage ready?

Scupra — Sun, 03 May 2015 01:04:18 GMT

@ChistineNJ wrote:
would you guys think id have sucess with NFCU? my would be co borrower is eligible for a VA loan and NFCU is my primary bank, my coborrower does not have bk status on his report

I have read a rebuild with someone who used NFCU 2 years post d/c! I would definitely give them a chance A broker has more incentive to close though

Re: 2 years post bk mortgage ready?

ezdriver — Mon, 04 May 2015 13:07:07 GMT

I recommend that you search the lender list on HUD's website and call a couple. Your chances of being approved is based on the strength of your current credit profile. Being 2 yrs post discharge is one requirement met...but there are many others.