Oh no, I m not joking! You read it right. A bad credit, bankruptcy or foreclosure cannot stop you from owning a house. Gone are the days when only the “solvent” could afford to buy a house. Nowadays, even a person with no credit can dream of owning a house. Of course it comes with a little more price, but something is better than nothing, right?
When can you actually start seeking a loan?
1.There are certain rules which you need to follow after your bankruptcy to be able to seek a loan. These are:-
2.The period between two bankruptcy filings is seven years but the credit report demands at least ten years.
3.FHA Guidelines list a period of two years after foreclosure to be able to qualify a down payment of just 3-4%.
4.You can get a loan even after six months of filing your bankruptcy but you have to approach hard money lenders for that. However, they demand a down payment of 20-35% and the interest rates are also very high.