How long will I have to wait before I can qualify to purchase a home after filing bankruptcy?
Jan Meriss Alfonso Assistant at Ascent Law LLC Lenders will look at the details of your bankruptcy discharge and your credit report to determine whether or not you can qualify for a home loan. They will also want to be sure that you can pay back the loan on time. Different types of home loans have different credit score requirements. FHA loans, for example, have a lower credit score requirement. Extenuating circumstances Extenuating circumstances, also known as "non-recurring events" which occur for reasons outside the borrower's control, may be used to qualify for a mortgage. In some cases, this can shorten the waiting period. In these situations, the borrower must provide a letter explaining the circumstances, along with supporting documents, to the lender. Extenuating circumstances may reduce your waiting period for bankruptcy transactions by as much as 50%. The event must have occurred within twelve months of filing for bankruptcy and must have resulted in financial...