Bankruptcy financing mortgage
The answer to this question can be just summed up as yes you can get bankruptcy mortgage financing. Your chances of qualifying for bankruptcy financing mortgage can increase if you have not closed all your accounts during bankruptcy. There are also some lenders who would offer you mortgage financing at affordable rates if you have a score of 600. Moreover, if your score is higher than 600 then you can even be lucky enough to get 100% financing mortgage.
The main thing that can help you in getting bankruptcy mortgage financing is established trade line. If you have closed all your accounts during bankruptcy then you might not get 100% financing but you can qualify for around 80%-90%. How to qualify for bankruptcy financing mortgage?
Usually lenders ask for a two-year waiting period after the bankruptcy has been discharged. However there are also few lenders who would offer mortgage financing immediately after the bankruptcy is discharged but at very high interest rates.
When you have a waiting period of two years then you get enough time to build your credit score and show your repayment stability which would help the lender develop trust in you. The approval of bankruptcy financing mortgage also depends on the type of bankruptcy that you have filed.
Apart from this if you can arrange for a down payment of almost 10-15% then your chances of qualifying for bankruptcy financing mortgage increases as the risk for the lender decreases. How to apply for bankruptcy financing mortgage?
When applying for bankruptcy financing mortgage it is always advised to go through a licensed mortgage broker in your area.The mortgage broker has access to a number of lenders and by just filling one application you can get access to at least 3-4 lenders.
When you opt to approach a lender on your own then it is better that you first seek pre-qualification so that you are assured that you will get finance. Keep in mind that unless you have decided the lender and have an assurance for qualification you should not allow the lender to access your credit report.
The more the number of enquiries for your credit the worse your score becomes. Hence make sure that you approach in the right manner. Also make sure that you compare the quotes from different lenders before you opt to take it from one lender.
Your two-step planMost of the people when they opt for bankruptcy financing mortgage take into consideration a two-step plan.You can opt to take a higher interest rate bankruptcy-financing mortgage and then keep making the payments on time. Once you have established some credit then you can opt to take a refinance mortgage.
The refinance mortgage would replace your bankruptcy-financing mortgage and would be made available at a lower interest rate that can be easily paid off. Obtaining bankruptcy financing mortgage is not a very difficult task if you handle it properly.
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