If you file for bankrupcy and you surrender your property and add the mortgage loan to your bankrupcy, how long can you apply for another mortgage on a home? Since it didnt go into foreclosure as long as you get your credit score goes up can you apply for a mortgage? and if so how long will it take in order for this to happen?
2007-07-18 18:01:54 · 5 answers · asked by Anonymous in Business & Finance ➔ Credit
Most lenders want to see 24 months out of bankruptcy, and seriously delinquent mortgages (whether it actually went into foreclosure or not). Usually anytime a lender sees a late payment on the credit report of 90 days or more for a mortgage you will fall into the same tier as someone who had a foreclosure. There are some lenders who will lend sooner than 2 years, however rates will be high, a down payment of probably close to 20% would be necessary and it will still be tough to qualify. Therefore, I would give it 2 years and work on rebuilding your credit wisely. Read the credit blog below for more information on rebuilding your credit.
2007-07-18 18:24:32 · answer #1 · answered by dzwreck 4 · 1⤊ 0⤋
I'd wait a couple of years. As long as you use your credit wisely now (most people will give you some sort of credit, even if it's just a utility bill) and you don't default, lenders will notice that you aren't in a pattern of bad credit, just unfortunate circumstances, and, you'll be able to get a decent rate on a mortgage. Also, use this time to save up money for a decent down payment, as that will definately help. Whatever you do, don't get caught up in those interest only mortgages because they have such low payments.
2007-07-19 01:09:04 · answer #2 · answered by James D 1 · 0⤊ 0⤋
Bankruptcy stays on your credit report for 15 years. You may be able to get approved for a mortgage, but at a really high interest rate.
2007-07-19 01:06:26 · answer #3 · answered by Heather H 2 · 0⤊ 1⤋
You could apply right away but you wouldn't have a down payment and your interest rate would be so high you may not be able to afford the payments.
Why not learn to budget first, get used to your new situation.
2007-07-19 01:05:16 · answer #4 · answered by shipwreck 7 · 0⤊ 0⤋
Well, usually they say 7 years.
However, many places will still give you loans, but you pay through the butt on interest rates. Like...seriously, raked-over-the-coals kind of high rates.
2007-07-19 01:05:40 · answer #5 · answered by spudmunkey 4 · 0⤊ 0⤋