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Negative Financial Events and Buying a Home

By
Mortgage and Lending with E Mortgage Management 336799

Yes, when you have had a bankruptcy, foreclosure, or short sale it may seem like owing a home is never going to happen again but that is not true. I think most people that have had that “negative financial event” have no idea that there are options for them in the market today.

Granted there are some strict guidelines when it comes to Fannie Mae but they are not the only game in town.

Did you know that FHA allows you to purchase a home 2 years after a bankruptcy and 3 years after a foreclosure.

VA allows you to purchase a home 2 years after a foreclosure and bankruptcy.

FHA guidelines will also allow you to purchase a home the day after you have had a short sale if you were not more than 30 days late in the 12 months leading up to the short sale.

The bottom line is there are options and some are even more aggressive than the government loan programs.

I currently work with an investor that will finance somebody one day after a bankruptcy, foreclosure, or short sale.

 

Granted if you are financing a property the day after a “negative financial event” you are going to have to come up with a larger down payment and the rate will be higher than the standard loan programs, but the moral of the story is there are options.

Before you decide that you can’t purchase home and you are going to be a renter for the rest of your life contact a licensed mortgage professional and get some solid advice on your options. They may tell you that you don’t qualify today but a real pro will tell what you have to do so you will qualify in the future.

Posted by

Scott Pendleton

VP of Reatail Sales

NMLS MLO ID#336799

 

Office: 813-517-0795

Cell: 727-686-3346

Email: spendleton@emmloans.com

Website: scottpendleton.emmloans.com

Les & Sarah Oswald
Realty One Group - Eastvale, CA
Broker, Realtor and Investor

Welcome to ActiveRain and thank you for sharing your knowledge on your first post. 

Many buyers don't realize that there are options. But it takes a qualified loan counselor to tell them. Hope you are able to help many buyers who had past financial setbacks.

Jul 28, 2015 11:58 AM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

What people don't realize how about those protections and that those are in place help you bounce back from those incidents.

Jul 28, 2015 01:22 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Sarah and Les, I've decided to start following you because of the thoroughness of your coverage. it's a real shame that tires don't understand that these aren't place soley to help.

 

 

 

 

 

Jul 28, 2015 01:27 PM
Laura Cerrano
Feng Shui Manhattan Long Island - Locust Valley, NY
Certified Feng Shui Expert, Speaker & Researcher

Scott Pendleton  I also followed you for the same reason I told Sarah & Les Oswald because of your thouroughness! Good luck with everything and Welcome to The Rain! You are welcome to follow me back. :)

Jul 28, 2015 01:30 PM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

Good morning, Scott Pendleton financing after a financial mishap is a difficult feat, but not as difficult as it was previously.... your posts will be welcomed here, for sure....

Jul 28, 2015 06:52 PM
Barbara Todaro
RE/MAX Executive Realty - Happily Retired - Franklin, MA
Previously Affiliated with The Todaro Team

and welcome to ActiveRain.... jump in and enjoy learning, sharing, marketing and networking.... blog away....

Jul 28, 2015 06:53 PM
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Real Estate Agents - Luxury - Divorce

Most lenders deal ONLY in loans with long waiting periods that further punish Sellers ....and do not let would be Buyers know that there are other programs. We have sought the lenders out who offer "in house" programs and offe them to our former short sale Sellers who have gotten the "not this year" answer from lenders.

Jul 28, 2015 07:22 PM
Sham Reddy CRS
Howard Hanna RE Services, Dayton, OH - Dayton, OH
CRS

Lots of great financing information for those that went to through a negative financial situation whether a foreclosure or a short sale or a bankruptcy. Thanks for exposing the options.  Do you lend in Ohio?

Jul 28, 2015 08:32 PM
Roy Kelley
Retired - Gaithersburg, MD

Best wishes for great success with your ActiveRain blogs.

Jul 28, 2015 09:02 PM
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

 Many people after losing their home. They use relatives name or private loan getting another house.

Jul 28, 2015 10:37 PM
Roy Kelley
Retired - Gaithersburg, MD

Suggestion:  Use your blog settings to create an automatic signature for your blogs. Readers want to see your contact information.

Follow the blogs of Joe Petrowsky for some great marketing and networking ideas for mortgage lenders.

Jul 28, 2015 10:44 PM
Joe Petrowsky
Mortgage Consultant, Right Trac Financial Group, Inc. NMLS # 2709 - Manchester, CT
Your Mortgage Consultant for Life

Good morning Scott. Welcome to Activerain. This is a wonderful venue to share and learn.

Great information in your post.

Jul 28, 2015 10:55 PM
Debra Peters
Referral Realty - Manorville, NY
NY Real Estate Salesperson

Great post Scott Pendleton 

I'm sure many people do not know this. No one likes having to deal with a life changing event such as a bankruptcy. It's encouraging to know that there is a light at the end of the tunnel. I will pass this information on.

Jul 28, 2015 11:39 PM
Nicole Doty - Gilbert Real Estate Expert
Zion Realty - Gilbert, AZ
Broker/Owner of Zion Realty ZionRealtyAZ.com

There are so many renters in my area that don't know they can qualify again but home prices have increased exponentially since they've been out of the market. They're in for a bit of a sticker shock if/when they do shop for homes again. 

Jul 29, 2015 12:39 AM
Fred Cope
Reliant Realty in Nashville, TN - Nashville, TN
Looking For Homes With A Smile

 Scott welcome to the place where getting drenched is the idea .  Take time to read comment, posts and the Q & A. You will find folks you want to follow.  As an MLO, you may want to follow a MLO who has stood in the RAIN for a while: Joe Petrosky for an example.  So many others...

 

When I was originating loans, I did many FHA loans for folks who had filed Chapter 13.  Twelve month satisfactory repayment plan, with Court approval, and they could apply for a mortgage loan.  I worked with a couple of attornies who specialized in Chapter 13.  Extenuating circumstances seemed to be a frequent phrase when I put my file before an underwriter.  REALRORS®  need to have conversations with their MLO's about the program.  It may prove worthy of a few more posts from you on ACTIVERAIN®.  Let it Rain!

Jul 29, 2015 01:47 AM
Olympus Executive Realty Inc.
Olympus Executive Realty INC. - Orlando, FL
Home Of The Top Producers

Welcome to AR, Congrats on your first blog, look forward to all your future blog post. Its a great place to share your Real Estate thoughts and experiences. 

Jul 29, 2015 07:51 AM
Chris Shull
ColumbiaLand Realty - Columbia, SC
Your Realtor For Life!

Great first post Scott! I am looking forward to reading more from you in the future!

 

 

Jul 30, 2015 12:02 AM
Christine Donovan
Donovan Blatt Realty - Costa Mesa, CA
Broker/Attorney 714-319-9751 DRE01267479 - Costa M

Scott - There are a lot of options for those who have had negative financial events occur, and it's great of you to bring them to people's attention.

Jul 30, 2015 04:36 PM
Christine Donovan
Donovan Blatt Realty - Costa Mesa, CA
Broker/Attorney 714-319-9751 DRE01267479 - Costa M

Scott - Welcome to the ActiveRain community, and congratulations on your first post in the Rain.

Jul 30, 2015 04:37 PM
Christine Donovan
Donovan Blatt Realty - Costa Mesa, CA
Broker/Attorney 714-319-9751 DRE01267479 - Costa M

Please know that the ambassadors, those with the orange badges, are here to help if you have questions.

Jul 30, 2015 04:37 PM