In the event of a foreclosure, the borrower has three years from the date the claim was paid until he/she is eligible for another FHA loan.

Chapter 7 bankruptcy requires the borrower to wait at least two years from the date of discharge.

Chapter 13 bankruptcy requires the borrower to have been paying on the bankruptcy for at least one year, performance must have been satisfactory and the borrower must also receive court approval to enter into the mortgage transaction.

If you have had a foreclosure or filed bankruptcy there are options other than a FHA loan to get a new home. If you are attempting to purchase a new home shortly after a bankruptcy your interest rate will probably be higher than a comparable FHA loan, but you will have other options available. In order to improve your chances of qualifying for a loan quickly it is important to re-establish your credit as soon as possible. Taking out a secured credit card is just one way to start rebuilding your credit.

 

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