FHA Back to Work Program waives 3 year waiting period
This is great news for prospective home owners waiting to buy a home after foreclosure, short sale and bankruptcy. Ask me how you can purchase a new home!! Century 21 New Millennium is part of the largest relocation network in the world and I can help you find a home no matter where in the world you want to move.
Effective Immediately, FHA Waives Foreclosure Waiting Periods Via Its “Back To Work – Extenuating Circumstances” Mortgage Program
If you’re a home buyer, whether it’s your first home or fifth, and a significant derogatory credit event has kept you out of the housing market. Then you got some good news from FHA.
Related: FHA Waiting Period after a Foreclosure
Effective immediately (August 15, 2013) FHA has waived it’s 3 year waiting period after a foreclosure, short sale or bankruptcy.
Effective for FHA Case Numbers assigned on, or after, August 15, 2013, borrowers with a recent history of bankruptcy, foreclosure, judgment, short sale, loan modification or deed-in-lieu can apply for an FHA 3.5% down loan.
Related: Buy a Home with $100 down?
The Federal Housing Administration moved to relax its guidelines for borrowers who "experienced periods of financial difficulty due to extenuating circumstances". Dubbed the "Back To Work - Extenuating Circumstances Program".
If you've experienced any of the following financial difficulties, you may be program-eligible :
Pre-foreclosure sales
Short sales
Deed-in-lieu
Foreclosure
Chapter 7 bankruptcy
Chapter 13 bankruptcy
Loan modification
Forbearance agreements
The FHA realizes that, sometimes, credit events may be beyond your control, and that credit histories don't always reflect a person's true ability or willingness to pay on a mortgage.
The minimum eligibility requirements are: In order to qualify for the FHA Back To Work program, you must meet several minimum eligibility standards.
The first is that you must have experienced an "economic event" (e.g.; pre-foreclosure sale, short sale, deed-in-lieu, foreclosure, Chapter 7 bankruptcy, Chapter 13 bankruptcy, loan modification, forbearance agreement).
The second is that you must demonstrate a full recovery from the event. And, third, you must agree to complete housing counseling prior to closing. You must also show that your household income declined by 20% or more for a period of at least 6 months, which coincided with the above "economic event".
Not all lenders will be participating in the program and not everyone will qualify under the FHA Back to Work Program, but if you have a “significant derogatory event” in your credit history this may be the program that gets you back on the path to homeownership.
We have helped countless home buyers find the right loan program and they all have one thing in common, they contacted us.
Contact a FHA loan specialist
Thanks to Dan Green from the Daily Mortgage Report for the heads up and some of the contentGreg Cook
First Time Home Buyer Specialist
Certified Military Housing Specialist
FirstTimeHomeBuyersNetwork.com
951-265-4532
greg@firsttimehomebuyersnetwork.com
http://firsttimehomebuyersnetwork.com
NMLS ID #283159
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