www.LanaCole.net
SvetLana Cole - Full Time Licensed broker with "Charles Rutenberg Realty"
3135 Book Rd, Naperville, IL 60564
“Equal Housing Opportunity”
Cell 630-447-8382
You CAN do it now. No need to rent and through your money away while waiting for your credit to improve.
You can apply for a loan just 30 days after short sale. Below you will find a Quick Comparison chart.
Yes, your interest rate will be higher, but you always have an option of refinancing once your credit score has improved. You can work on improving it while living in your OWN home.
Be prepared for a longer closing time - about 60 days.
If you have additional questions email or call me and I will put you in touch with lenders.
If you decide to buy, call me! I will be happy to help!
630-903-4468
Experiencing a damaging credit event as a foreclosure, short sale, divorce, bankruptcy does NOT mean that you will not be eligible for another mortgage.
You need to know and understand the time line by which lenders establish your eligibility. Knowing this information will help you to prepare yourself for a future successful purchase and to plan your savings for down payment.
Having a knowledgeable real estate agent and lender on your side will help you keep your waiting time to a minimum and make sure that your credit is being repaired.
You can buy short sale or REO homes even after you had one yourself in the past, once you are eligible to borrow again.
There are lots of options out there:
-FHA home loans with low down payment
-FHA 203K construction loan
-203k loan
-Government housing assistance programs for 1st time buyers
-Illinois down payment assistance program with up to $7,500 towards your down payment.d
If none of the above apply to you, there are always plenty of houses for sale with owner financing.
In some cases the waiting period for eligibility might be shorter.
If you experienced extenuating circumstances that are beyond your control such as loss of job, death of a wage earner etc.
All such events will require document verification and will be subject to underwriter approval.Here are some of the major lending institution time lines:
Fannie Mae Financing
Chapter 7 Bankruptcy 4 years from discharge or dismissal date
Chapter 13 Bankruptcy 4 years from dismissal date, 2 years from discharge date
Short Sale 4 years from completion date
Foreclosure 7 years from date of completion
Freddie Mac Financing
Chapter 7 Bankruptcy 4 years from discharge or dismissal date
Chapter 13 Bankruptcy 2 years from discharge date
Short Sale 4 years from completion date for short sale, 4 years for deed-in-lieu
Foreclosure 7 years from date of completion max 90% LTV
FHA Financing
Chapter 7 Bankruptcy 2 years from discharge date
Chapter 13 Bankruptcy 1 year timely payments, with permission from the courts to enter into a mortgage transaction.
Foreclosure 3 years from date of completion
Short Sale 3 years from completion date (per FHA ML 09-52, FHA financing can be obtained in less than 3 years under certain conditions.
VA Financing
Chapter 7 Bankruptcy 2 years from discharge date
Chapter 13 Bankruptcy 1 year timely payments, with permission from the courts to enter into a mortgage transaction
Foreclosure 2 years from discharge date
Short Sale No specific info yet, assume the foreclosure rule of 2 years
USDA Rural
Chapter 7 Bankruptcy 3 years from discharge date
Chapter 13 Bankruptcy 1 year timely payments, with permission from the courts to enter into a mortgage transaction
Foreclosure 3 years from completion date
Short Sale 3 years from completion date
NOTE: Individual Investors may have additional guidelines. All above timelines are subject to change. Please consult with your lender.