Hi Teresa,
Sounds like you've had a rough go of it lately. Sorry to hear that.

It would not hurt to speak with a lender. If you are putting at least 20% down that may help. Any less and you may also have an issue with meeting the underwriting requirements of the PMI companies.

My gut feeling though is you are probably going to have to get the credit back in shape. That would likely mean getting caught up on the credit card payments (and any subsequent collections) and having about a 12 month history of no lates. That, combined with a good excuse, should hopefully be enough for a lender to regard your situation as an isolated set of circumstances and to consider giving you a mortgage

Best of luck
Tony