Jack Gillis, M.B.A., J.D.
Jack Gillis Realty Advisors
Nathan Grace Real Estate, Broker
5619 Dyer Street | Suite 100
Dallas, TX 75206
about 70k on a home worth 140k-your willing to front 50 percent down. The bank has
no risk with something like this. Even if your credit is in shambles. Maybe smaller local community
banks would do this.
I think we are mixing apples and oranges. If you had a foreclosure or short sale recenlty on a primary residence, and received a 1099, it could be waived if you had financial hardship because Minnesota is a non recourse state. In English that means that MN has laws that protect the consumer that most states do not have. However, if there was a 2nd loan, you are not protected from that becomng a judgement. That has more to do with IRS than credit. Talk with your tax preparer, or tax attorney to verify your specific situation.
To obtain a new loan you will have to wait for up to three years to qualify, providing that you rebuild your credit. I would be cautious is anyone tells you differently. Lending guidelines for FHA requires 3 years to rebuild credit, conventional is 3-7 years (documented extenuating circumstances).
If you really want to own at this juncture, a contract for deed would be an option. You would need 10-20% down, and it is at a slightly higher rate than a normal loan. A contract for deed is seller financing for a limited time period, usually 3-5 years. Again, use caution. There are some contracts being offered for as much as 12% interest. Last year I negotiated several contracts for 6% for 3-5 years, which is a decent time frame to reestablish yourself. You need to work with a professional who will explain what you need to know to get out and stay out of the woods while you are rebuilding credit. Rent to own only gives you a lease, you have no other legal rights to a property, contract for deed gives you ownership.
you because of the state I am in. Even if it's an fha loan. And was told it's forgiven anyway through 2012 as long as it was primary residence. - A few minutes ago
you because of the state I am in. Even if it's an fha loan. And was told it's forgiven anyway through 2012 as long as it was primary residence.