How Long Do I have to Wait to be qualified to get a Mortgage Loan

1.
Derogatory
events such Foreclosures, Short Sales, Deed in Lieu of and
Bankruptcy will have a major negative impact on your credit score
and usually decreases your credit score about 200-300 Points.
Depending on how old they are and what you have done to establish a
good credit since then, you may or may not be qualify for a mortgage
loan. To find out about your specific situation; what do you need to
do and/or how long do you have to wait to qualify for a mortgage
loan, talk to your favorite lender.
Table below answers
the question concerning people who have had a foreclosure,
short sale or bankruptcy is when they will be able to qualify
for a mortgage loan.
Waiting Period
Derogatory Event |
FHA* |
CONV** |
va*** |
Bankruptcy - Chapter 7 |
2Yrs |
4Yrs |
2 Yrs |
Bankruptcy - Chapter 1 3 |
1 Yr |
2 or 4Yrs** |
1Yr |
Foreclosure |
3Yrs |
7Yrs |
2 Yrs |
Deed In Lieu Of Foreclosure/Short Sale
|
3Yrs |
2 Yrs - 80% LTV
4 Yrs - 90% LTV |
2 Yrs |
*http://www.fha.com
**https://www.efanniemae.com***http://www.veteranloancenter.com
During Waiting Period:
•
No more than 2 installment or revolving debt payments 30 days past
due in last 24 months.
•
No installment or revolving debt payments 60 or more days past due
since the discharge/completion date of BK.
•
No housing debt payments past due since discharge/completion of BK.
•
No new public records BK, foreclosure, deeds-in-lieu, unpaid
judgements/collections, garnishments, liens since
discharge/completion
of BK.
•
Evident that borrower's credit history does not contain multiple
revolving accounts with high
balances to limits or high overall
utilization of revolving
credit.
To find out more about your credit score and
how to get a free copy of your credit reports, or find out about
credit scores in general and tips on how to improve your credit
score, please visit one of
the appropriate sites from following:
What is a credit score,
What makes up a credit score, Tips on how to improve their credit
score,
What impact they have on your Interest rates & why they are
important,
List of Do’s and Don’ts they should do before applying a mortgage
loan, and
List of Do’s and Don’ts after being approved for a mortgage loan.
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