Amy, Elizabeth is right on. A good agent will help you as long as you explain you situation completely to them. Often a home buyer/renter or seller/landlord will not be completely upfront about their situation. As a result the solutions found don't work and everybody loses. If they are not willing to work with you based on a recent BK or foreclosure find a good who will.

Absolutely. You should be honest with your agent. They will need to know this information to help you secure financing and make sure you are looking in the right price range. A good agent will be willing to help you in your situation and not frown upon it.