Can you get a mortgage after filing chapter 7 bankruptcy

Question

Can you get a mortgage after filing chapter 7 bankruptcy

Answer 1

You used to be able to get a sub-prime loan after just 3-5 days after it was discharged at course at a very high interest rate and proof of funds.

Now usually you have to wait at least 2-3 years and in that time not have any late fees, have a good debt-to-income ratio, and stable job history, along with funds. The interest rates will be high.

The bankruptcy will actually stay on your credit reports for 10 years. Any loans or credit cards you try to get and even car loans will have very high interest rates for a few years if you can even get approved.

Just be careful with your spending and make sure you pay on time.

Answer 2

Yes, you can, but it isn't easy; especially in the current credit market.  You usually have to wait two years from discharge to do so as that is the minimum requirement from Fannie Mae/Freddie Mac, who typically buys the mortgages.  Other than that, you need to keep your post bankruptcy life in shape; payments on anything that you may have re-affirmed during the bankruptcy proceedings, on time payment of bills, etc.  Since you may not have a lot, or any, credit activity since filing, it is helpful to get letters from utilities and landlords indicating that you have paid on time for X number of months.

Answer 3

It will stay on your credit report for 10 years.  For that 10 years, if you are perfect with your credit and, if things improve in the markets, you may find a bank that will give you a mortgage.  But don't kid yourself, it's going to take a lot of time.