Home Buying in Modesto>Question Details

Cindy Valle, Home Buyer in Modesto, CA

if someone had a forclosure 3 years ago but has a good credit score of 690-700 can they still purchase a home

Asked by Cindy Valle, Modesto, CA Mon Jun 6, 2011

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Your history hurts you here not your score, so you may get a loan, will the rates be good, probably not you pay for your sins somewhere when they are against the financial institutions!
0 votes Thank Flag Link Mon Jun 6, 2011
Yes with the right lender and help you should be able to purchase a home.
0 votes Thank Flag Link Mon Jun 6, 2011
With a good credit score, established employment history, down payment and acceptable loan to income ratio you should definitely be able to purchase.
0 votes Thank Flag Link Mon Jun 6, 2011
Cindy, it is certainly possible to purchase a new home 3 years after foreclosure.

You can purchase either with FHA financing, VA financing (if you or your spouse is a Veteran), or USDA financing. VA financing actually just requires 2 years, but at 3 years obviously that is fine too. With any of those 3 you need to have at least 12 months of re-established credit, as well as no new late payments or delinquencies since (medical collections are usually the exception).

You may not have heard of USDA financing, but it is 100% financing in rural'ish areas, income must be no higher than certain levels, and only in certain rural areas can it be used. Modesto isn't eligible, but Ripon, Riverbank, Keyes, and Hughson all are. You can read a lot about it at http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do

Foreclosure guidelines:
FHA : http://www.fhaoutreach.gov/FHAHandbook/prod/infomap.asp?addr…
VA : http://www.benefits.va.gov/WARMS/docs/admin26/pamphlet/pam26… (Page 4-40)
USDA : http://www.rurdev.usda.gov/regs/regs/pdf/1980d.pdf (page 36)

If you need further info just let me know.
0 votes Thank Flag Link Mon Jun 6, 2011
Yes if that is the only adverse criteria affecting your credit application.
0 votes Thank Flag Link Mon Jun 6, 2011
Many direct lenders will not lend since foreclosures stay on your credit report for 7 years. However I do know of a mortgage broker that claimed they have funded a loan when buyer had a foreclosure 3 years ago. Contact me at 209-402-4777 and I would be happy to help. Thank you.
Web Reference: http://www.riversrealty.com
0 votes Thank Flag Link Mon Jun 6, 2011
Good afternoon Cindy, I have a couple of lenders who can help you with purchasing a new home. Each case is different but as long as the rest of your credit is good, you have a very good shot at it. Please feel free to email me with any questions and I am happy to help you.
LBailey@prucalifornai.com, Lura Bailey Realtor Prudential Modesto.
Web Reference: http://www.Luracv.com
0 votes Thank Flag Link Mon Jun 6, 2011
Hi Cindy,

I would suggest that you speak with a lender, since there are so many things that you need to factor in. They would have to review your information and get you an answer specific to your needs. If you would like I can refer you to a local lender that can assist you. Irma Trapolino 209-204-2304
0 votes Thank Flag Link Mon Jun 6, 2011
There are many different factors involved. You need to sit down with a mortgage broker or lender and have them review all of your information including debt-to-income ratio, credit, employment history, etc. I can refer you to someone if you'd like.
0 votes Thank Flag Link Mon Jun 6, 2011
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