I had my bk discharged 11/07 and now am looking to purchase my first home but I wanted to know if it's really too soon. Anybody out there who had a discharge within the last 2-3 years and has now purchased a home? What were your credit scores and what type of loan program did you use? Any info, suggestions, or encourgagement would be greatly appreciated.
Thanks in advance
It was a chapter 7. Not extenuating, I overspent in my early 20's and once I started trying to pay it all back in my mid-twenties I got sick and had medical bills and 9 months of un and underemployment and I didn't feel like I was ever going to get ahead unless I started over. Since then I have had no lates since 3 mo prior to my filing, my employment situation is vastly improved and I'm more aware of how to manage my credit now.
You may be able to go FHA two years after discharge. For conventional mortgages, the waiting period is 4 years.
Your health could be considered an extenuating circumstance, but it sounds like your problems were rooted in your youthful exuberance. If your medical issues are deemed to be extenuating, then the waiting period for FHA and conventional falls to one and two years, respectively. You might want speak with a loan officer to see how your history would be considered.
That said, there's all the other factors that go into getting a mortgage - income, down payment, credit scores, etc - that still need to be factored into the equation.