If you are seeking a CONVENTIONAL loan, here are the Eligibility periods:
Chapter 7 Bankruptcy - 4 years from discharge date. Chapter 13 Bankruptcy - 2 years from discharge date.
Foreclosure - 4 years from completion date
Deed - in - Lieu of foreclosure/ Short Sale
These transaction types are completed as alternatives to foreclosures. A deed - in lieu of a foreclosure/ Short Sale is a transaction in which the deed to the real property is transferred back to the servicer. A pre-foreclosure sale or Short Sale is the sale of a property in lieu of a foreclosure resulting in a payoff of less than the total amount owed, which was pre-approved by the servicer. A 2 year waiting period is permitted if extenuating circumstances can be documented, with maximum LTV ratios of lessor of 90% or the maximum LTV ratios for the transaction per the Eligibility Matrix.
The Maximum LTV ratios permitted are the lesser of the LTV ratios in this table or the maximum LTV ratios for the transaction per the Eligibility Matrix
The Following waiting periods requirements apply:
Two Years------------------------------------------------ 80% maximum LTV ratios1
Four years------------------------------------------------ 90% maximum LTV ratios1
Seven years---------------------------------------------- LTV ratios per the Eligibility Matrix
If you are seeking an FHA Loan, here are the eligibility periods;
Chapter 7 Bankruptcy - 2 years from discharge date
Chapter 13 Bankruptcy - 1 year of the payout must elapse & payment performance must be satisfactory. Buyer must receive permission from the court to enter into a mortgage.
Foreclosure - 3 years form completion date.
Short Sale - 1 year for the completion date if the borrower was current at the time of the short sale and all installment payments for a 12 month period of 3 years from completion date if in default at the time of short sale.
If you are seeking a VA loan, here are the eligibility periods:
Chapter 7 Bankruptcy - 2 years from discharge date
Chapter 13 Bankruptcy - 1 year of the payout elapse & payment performance must be satisfactory. Buyer must receive permission from the court to enter into a mortgage.
Short Sale - No specific information on this yet, assume foreclosure rule of 2 years.
If you are seeking a USDA loan, here are the eligibility periods:
Rural Bankruptcy Ch. 7 or 13 - 3 years from discharge date
Foreclosure - 3 years from completion date
Short Sale - No specific information on this yet, please assume foreclosure rule of 3 years.
***Please remember, loan guidelines are subject to change without notice*** Please know that there is a light at the end of the tunnel. You can be a homeowner in the near future. If you have any questions regarding this topic or any other real estate need please visit www.azpremierproperties.net for all of your real estate needs. We are here to help.
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