How soon can you purchase a new home after filing chapter 7 bankruptcy?

Asked by Trulia Chicago, Chicago, IL Mon Dec 3, 2012

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Manuel Brown’s answer
Manuel Brown, Agent, Chicago, IL
Mon Dec 3, 2012
BEST ANSWER
The current rules state if you require a loan:

2 years from dismissal for a FHA Loan
4 Years from dismissal for a Fannie Mae Loan
4 Years from dismissal for a Freddie Mac Loan
2 Years from dismissal for a VA Loan
3 Years from dismissal for a USDA Rural

However, if you are paying cash, no wait is required.

I cannot claim the credit for the information, I have a great team working with me at Guaranteed Rate and they keep us up to date with all the rules.
3 votes
Chicago Mort…, , Chicago, IL
Mon Dec 10, 2012
Hello,
You must wait 2 years from the chapter 7 discharge date (not filing date) to purchase. The loan would be insured by FHA. If you have any other questions, please contact me.

Thank you,
JP

JP Marzano
Senior Loan Officer
Chicago Financial Services
312-204-6556 - direct
312-608-1555 - mobile
jpmarzano@cfsmortgage.com
http://www.themortgagecall.com
1 vote
Matt Laricy, Agent, Chicago, IL
Mon Dec 3, 2012
After two years you can start the paperwork. Typically takes at least 3 years though.
1 vote
Mike Opyd, Agent, Chicago, IL
Thu Feb 26, 2015
Everyone below pretty much answered this. I would also speak to a lender if a few years have passed already.
0 votes
, ,
Thu Feb 26, 2015
Along with what Manuel said, there is a program that will qualify borrowers for a mortgage after 12 months of a financial issue.

FHA has a wonderful program call Back To Work, where if you had lost 20% of your income for 6 months, which caused you to have the collections and late payments (or foreclosure &/or bankruptcy) but now you have a steady job and have 12 consecutive months of on-time payments, you can get a mortgage!

I am licensed in IL, CA and WA states, I would happy to get the process started. Give me a call at 773.415.6859

With warm regards,

Mary Kay Laurent
Associate Vice President of Mortgage Lending
marykay.laurent@guaranteedrate.com
http://www.guaranteedrate.com/MaryKayLaurent
o: 773.516.6859 - m: 312.403.4150 - f: 773.328.1740
3940 North Ravenswood , Chicago, IL 60613
NMLS ID: 870598
NMLS ID 2611 - NMLS Consumer Access - Licensing Information

State License Numbers: CA - CA-DOC870598 - 4130699, IL - 031.0032236 - MB.0005932, WA - MLO-870598 - CL-2611
0 votes
Mark Zatz, Agent, Chicago, IL
Wed Feb 25, 2015
Best to check with a mortgage officer to get the newest and latest rules. But right now they are.....

2 years from dismissal for a FHA Loan
4 Years from dismissal for a Fannie Mae Loan
4 Years from dismissal for a Freddie Mac Loan

Of course these dates are usually the dates on your credit report, so best to make sure that is accurate as well.

Best of luck..
0 votes
Maria Leszcz…, Agent, LAS VEGAS, NV
Tue Dec 4, 2012
did you had Forclousere too??? then 3 years from last forclousure
0 votes
Bill J Delig…, Agent, Naperville, IL
Tue Dec 4, 2012
Cash? ...then as soon as you want
Financed? ...then 2-4 years depending on the type of loan you are requesting
0 votes
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