Buying a home after a bankruptcy will depend if you filed a Chapter 7 or a Chapter 13. See comparison chart if you are unsure what filing you had.
After reviewing the chart above, I have the answers to your questions of “how long after bankruptcy can I buy a house? Below are FHA and VA underwriting guidelines, click here to go how to buy a house after a bankruptcy with Fannie Mae.
A Chapter 7 bankruptcy (liquidation) does not disqualify a borrower from obtaining an FHA-VA insured mortgage if at least two years have elapsed since the date of the discharge of the bankruptcy. During this time, the borrower must have:
re-established good credit or chosen not to incur new credit obligations
An elapsed period of less than two years, but not less than 12 months may be acceptable for an FHA-insured mortgage, if the borrower can show that the bankruptcy was caused by extenuating circumstances beyond his/her control and has since exhibited a documented ability to manage his/her financial affairs in a responsible manner
A Chapter 13 bankruptcy does not disqualify a borrower from obtaining an FHA-VA insured mortgage, provided that the lender documents that:
- one year of the pay-out period under the bankruptcy has elapsed
- the borrower’s payment performance has been satisfactory and all required payments have been made on time
- the borrower has received written permission from bankruptcy court to enter into the mortgage transaction
“Can you buy a home after a bankruptcy?” You sure can, if you filed a bankruptcy and looking to purchase a home, I welcome the opportunity to work with you on your next purchase. If you are thinking about filing BK do consult a bankruptcy attorney to assist with your decision.
Yes there is hope to purchase a home after filing a bankruptcy, call me and we can discuss your options to purchase a home.