Posted on: 27th Mar, 2010 08:44 am
Hi,
Chapter 7 for business failure is two years old. We had planned to keep our home after BK, but we had job loss due to our area being hard hit by the market down. We put our home on the market and had to relocate for stable employment. Short Sale completed 1 year ago. The mortgage company said we had to be 60 days late to be eligable for Short Sale and financial hardship in order to qualify (have paper work stating this from the mortgage co.) At that time, we where advised we could do an FHA 12-18 months post Short Sale as long as we maintained good credit,long term employment and 12 months of on time rental history. Our credit scores are 640 and 680. We have been with the same employers over 16 months,make very good income (in the same field of work for 20 years,health care & mechanic) and have on time rental history. Now, according to FHA's new guide lines, we may not be able to purchase for 3 years? I know what we went through would be considered extenuating circumstances by mortgage underwriting and have all documentation to prove this.
If some of the lenders would give us some in sight, that would be great.
Thanks so much!
Chapter 7 for business failure is two years old. We had planned to keep our home after BK, but we had job loss due to our area being hard hit by the market down. We put our home on the market and had to relocate for stable employment. Short Sale completed 1 year ago. The mortgage company said we had to be 60 days late to be eligable for Short Sale and financial hardship in order to qualify (have paper work stating this from the mortgage co.) At that time, we where advised we could do an FHA 12-18 months post Short Sale as long as we maintained good credit,long term employment and 12 months of on time rental history. Our credit scores are 640 and 680. We have been with the same employers over 16 months,make very good income (in the same field of work for 20 years,health care & mechanic) and have on time rental history. Now, according to FHA's new guide lines, we may not be able to purchase for 3 years? I know what we went through would be considered extenuating circumstances by mortgage underwriting and have all documentation to prove this.
If some of the lenders would give us some in sight, that would be great.
Thanks so much!
You will have to meet the required guidelines of the lender in order to qualify for a loan. It is true that you won't be able to qualify for a FHA loan unless 3 years have passed since your short sale had taken place. The lenders will not consider your request though you have the required credit score.