1st Priority: When do I qualify for home financing again?

Life happens. We get it. Here’s how long you have to wait to be eligible for home financing again after bankruptcy, foreclosure, or a short sale.

Conventional Loan

Chapter 7 (Bankruptcy): 4 years from discharge date

Foreclosure: 7 years from completion date

Short Sale/Deed In Lieu: 4 years from completion date

FHA Loan

A Federal Housing Administration (FHA) Loan is insured by the FHA and is available to homebuyers who meet certain guidelines. These mortgage loans are generally considered one of the easiest types to qualify for, as they allow for low down payments with less-than-perfect credit scores. However, these loans also require the borrower to pay for mortgage insurance premiums.

Chapter 7 (Bankruptcy): 2 years from discharge date

Foreclosure: 3 years from completion date

Short Sale/Deed In Lieu: 3 years from completion date

VA Loan

Veterans Administration (VA) loans are available at competitive rates for those who have served our country in the military service. Many of these loans require no down payment. 1st Priority is a VA delegated lender with in-house approval capabilities.

Chapter 7 (Bankruptcy): 2 years from discharge date

Foreclosure: 2 years from completion date

Short Sale/Deed In Lieu: 2 years from completion date

USDA Loan

USDA loans are offered by the United States Department of Agricultural through the USDA loan program, or the USDA Rural Development Guaranteed Housing Loan Program, to rural and suburban property owners. Like VA loans, USDA loans allow for zero mortgage down payments; however, if you put little or no money down, they require you to pay a mortgage insurance premium.

Chapter 7 (Bankruptcy): 3 years from discharge date

Foreclosure: 3 years from completion date

Short Sale/Deed In Lieu: 3 years from completion date

SONYMA

The State of New York Mortgage Agency (SONYMA) offers financing and programs designed for first-time, low- and moderate-income homebuyers in New York State by partnering with approved participating mortgage lenders. These loans feature competitive, fixed-rate mortgages with long-term lock rates and can be combined with other grants and subsidies to make homeownership possible.

Chapter 7 (Bankruptcy): 3 years from discharge date

Foreclosure: 4 years from completion date

Short Sale/Deed In Lieu: 4 years from completion date

NMLS# 29600. Contact 1st Priority Mortgage, Inc. for mortgage products and eligibility. 1st Priority Mortgage, Inc. is a Licensed Mortgage Banker, New York State Department of Financial Services. All lending products are subject to credit and property approval. Terms, conditions, and certain restrictions may apply on all programs. Interest rate and program terms are subject to change without notice. This is not a commitment to lend. Contact a 1st Priority Mortgage Consultant for full details. (888) 500-9733.

Leave a Reply

Your email address will not be published. Required fields are marked *