Phoenixjim, Home Buyer in Phoenix, AZ

Are any lenders doing FHA loans less than 3 years after a foreclosure, given exenuating circumstances?

Asked by Phoenixjim, Phoenix, AZ Tue Apr 26, 2011

I live in AZ and worked for 3 companies that went out of business in a 2 year period. It caused a dramatic loss in income and I ended up with a foreclosure 2 years ago. THe foreclosure was an isolated incident and I have plenty of compensating factors (large down payment, low debt to income ratio, lots of reserves). One bank said extenuating circumstances are only cases of death of a wage earner but the HUD handbook does not specifically state what is considered extenuating circumstances.

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Answers

19
lendersnetwo…, Agent, Plano, TX
Sun Sep 1, 2013
Yes there is a new program for FHA by HUD for people in your shoes you just need 12 months from the date of the Bankruptcy, short sale or foreclosure.

The U.S. Department of Housing and Urban Development (HUD) recently announced the “Back to Work – Extenuating Circumstances” 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 HUD’s minimum eligibility requirements.
1 vote
Chris Rankin, , 85339
Mon May 19, 2014
I am actually in the Phoenix area and my Mortgage Loan Officer has completed many loans through the FHA back to work program. Feel free to contact him directly with any questions. See his website below.

http://www.peoplesmortgage.com/search-results?fdpdbelgc=0
0 votes
aftervince19…, , Greenville, NC
Sun May 18, 2014
Get a flexible credit loan. This program assists homeowners who have recently been through a foreclosure, short sale or have recently emerged from bankruptcy.

http://www.thinkcomstock.com/buy-after-foreclosure
0 votes
Craig Bosse, Agent, Walnut Creek, CA
Tue Nov 26, 2013
We have a program that would allow you to buy again right away. With our "2nd chance" loan you would need a 20% downpayment and 660 minimum mid FICO... There's no extenuating circumstances or any other red tape to go through like the FHA back to work program.

You can contact me on my site below for more details.
Web Reference:  http://www.craigbosse.com
0 votes
Russ Lisa, Home Buyer, 19335
Sat Nov 23, 2013
I do no have a question but a very similar issue; however, we are in PA. If anyone can help us in PA it would be greatly appreciated. Please contact me at lbuszko@verizon.net. This is quite urgent and we have already been working with a broker. We are through 99% with a 3.5-5% downpayment. Funds are in the bank for settlement, debt to income is 20%, credit score in the high 600's. The house we are renting as sold, we were supposed to make settlement on the house we are buying on 12/19. Bankruptcy disharged in Oct 2010...so that was 3 years ago, major issues with the bank and several extenuating circumstances, foreclosure not recorded until Feb 11, 2011 even though the property was surrenderd to the bank in July 2010.

HELP!!!
0 votes
Jean-Leon Ma…, Agent, Tempe, AZ
Mon Sep 9, 2013
Randy is correct on all counts. If you would like to speak to a top notch lender that can help you feel free to contact me directly and I can put you in touch. Thanks, good luck !
0 votes
Joycelewis412, Home Buyer, Sacramento, CA
Sat Aug 10, 2013
Know if you can qualify for a mortgage after short sale, foreclosure, or filing bankruptcy. Check out http://www.whywaitbuytoday.com for details.
0 votes
Roy Bush, Both Buyer And Seller, Phoenix, AZ
Sun Jul 14, 2013
I had a buyer that wanted to buy a home in Arizona, but he had a Chapter 7 bankruptcy 7 months ago. I introduced a loan program at http://www.cfsflex.com, they allow a mortgage after a foreclosure, short sale, or bankruptcy. There is only a six month waiting period. This is perfect for individuals looking to become homeowners again.
0 votes
Cheryl Menay…, Agent, Scottsdale, AZ
Sat Jun 1, 2013
Yes, I know a lender who provides financing immediately following a short sale or foreclosure.
Please contact me and I will be happy to provide you that information.
Web Reference:  Http://www.cherylmenayas.com
0 votes
aprilpcook, Home Buyer, Phoenix, AZ
Mon May 20, 2013
Are any of the lenders commenting here able to do conventional in the state of MS? April 435-496-0606 or aprilpcook@yahoo.com
0 votes
Terri Club, , Arizona
Sun Apr 21, 2013
I had a client who wanted to buy a home in Arizona, but he had a foreclosure. After researching the web I found a loan program at http://www.cfsflex.com, they allow a mortgage after a foreclosure. There is no waiting period. Good to see lending options coming back.
0 votes
Leo Zuniga, Mortgage Broker Or Lender, Peoria, AZ
Tue Apr 26, 2011
Unfortunately, FHA's guides are mandatory and in correspondence with Fannie Mae guides as well. There is no extenuating circumstance that will change those guides because those operate on a national lending spectrum. You'll have to wait the 3yrs from the date of foreclosure that is reporting on your credit report in order to get FHA financing and 7 years if you want a conventional loan. Also bear in mind that you'll have to also meet minimum credit guidelines when you re-apply. The only option you'd have at this point is to go with private financing if you did not want to wait.
Web Reference:  http://www.loansbyleo.com
0 votes
Gregorio Den…, , San Diego, CA
Tue Apr 26, 2011
"I am "re-calling" my previous answer to you regarding the two year waiting period; that is only good if you went through a Short Sale or completed a Deed-In-Lieu transaction. The Foreclosure waiting period for a Conventional loan is SEVEN years, regardless of the amount of down payment."

As am I, I completely quoted the incorrect Fannie guideline. My apologies.
0 votes
Carlos Ramir…, Agent, Mesa, AZ
Tue Apr 26, 2011
I hightly doubt anybody will be able to get you FHA financing at this point. But, if your credit has recovered enough, you have a good downpayment amount and all other circustances are right you might be able to obtain conventional financing. If you need more lenders information to do some comparison shopping, let me know and I will send you a few more contacts.

Carlos J. Ramírez, PC, ABR, CNE
RealtorCarlos@gmail.com
Associate Broker/Realtor, HomeSmart –
Certified Negotiation Expert (CNE)
http://www.SmartAZRealty.com
0 votes
Roswell Moore…, Mortgage Broker Or Lender, Scottsdale, AZ
Tue Apr 26, 2011
Jim,

I am "re-calling" my previous answer to you regarding the two year waiting period; that is only good if you went through a Short Sale or completed a Deed-In-Lieu transaction. The Foreclosure waiting period for a Conventional loan is SEVEN years, regardless of the amount of down payment.

All the best,
Ros

Roswell Moore, CMPS
Certified Mortgage Planner
480-422-5095 direct
http://www.ezAZloan.com

We are a Direct Lender, Mortgage Bank where we originate, process, underwrite and fund, in-house, FHA (w/a 580 score), 203k, VA, USDA, Jumbo, Conventional, loans to Canadians, Australians & other Foreign Nationals, on time. NMLS ID 263779 | AZ BK 0903725
0 votes
Jim Mitchell, Agent, Tempe, AZ
Tue Apr 26, 2011
Jim, I emailed your question to one of my preferred lenders (Lizy Hoeffer @ Nova Home Loans), and this was her reply:


"His circumstances will not work unfortunately. HUD only allows for death/severe illness of a primary wage earner or natural disaster, Katrina. He will have to wait another year if her loan was a conventional financing and 5 yrs. if it was FHA. Hope this helps!"


I agree with Roswell and Gregorio...looks like conventional financing with minimum 20% down is the only route at this point.

Thanks for the question!

Jim Mitchell
Century 21 All Star, REALTORS
jim.mitchell@century21.com
0 votes
Loren Hoboy, Agent, Phoenix, AZ
Tue Apr 26, 2011
Yes, You may qualify. I would be please to recommend tow lenders for your consideration.
You may contact me at 623-688-0044.
0 votes
Debbie Nieman, Agent, Phoenix, AZ
Tue Apr 26, 2011
Sometimes yes. I can certainly put you in touch with some very good qualifty lenders that I've done business with over the years. Please give me a call so we can chat and I can assist you with this.

Debbie Nieman Real Estate Professional,
Keller Williams Realty
602-799-5239
Web Reference:  http://www.diverdebi.com
0 votes
Roswell Moore…, Mortgage Broker Or Lender, Scottsdale, AZ
Tue Apr 26, 2011
Hi Jim,

Sorry to hear about your circumstance. There may be some relief for you, however, there are a few more questions that need answering. Can you please contact me when you have a minute or two? I'd be glad to help.

All the best,
Ros

Roswell Moore, CMPS
Certified Mortgage Planner
480-422-5095 direct
http://www.ezAZloan.com

We are a Direct Lender, Mortgage Bank where we originate, process, underwrite and fund, in-house, FHA (w/a 580 score), 203k, VA, USDA, Jumbo, Conventional, loans to Canadians, Australians & other Foreign Nationals, on time. NMLS ID 263779 | AZ BK 0903725
0 votes
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