The U.S. Department of Housing and Urban Development (HUD) recently announced the â€œBack to Work â€“ Extenuating Circumstancesâ€ program, aimed to help people who have lost their home through foreclosure, short sale or bankruptcy. HUD has reduced the previously required minimum of 36 months to 12 months before they may be able to finance another home, given that they meet HUDâ€™s minimum eligibility requirements.
Sam Perry, Realtor
Envision Real Estate, LC
FHA financing requires a 3 yr. window from your foreclosure. In certain circumstances, a 2 year window will be allowed under FHA guidelines. Compensating factors must be present and a larger down payment may be required. You certainly have that based covered with your 20% that you mentioned.
Conventional financing will be the most difficult to obtain at this time. If your circumstance were surrounding a short sale or a deed in lieu of foreclosure, the time passage required would 2 years with a 20% down payment. Please note I mentioned a short sale or a deed in lieu... not a foreclosure. With a foreclosure, the time period for conventional financing is 7 years as of this writing. We hear that this soon will change to align more with FHA guidelines.
Feel free to contact me at 804-897-1000 if your care to discuss further. I believe an FHA loan is your best opportunity right now..... unless you are a Veteran or are on Active Duty. If you happen to be a VET or AD.. thank you for protecting me and my family.
Jamie Lee Chafin 804-897-1000 http http://.www.jamieleechafin.com