Chapter 13

FHA – Repeated Bankruptcy: If a client has a Chapter 7 in 2012 and a Chapter 13 that was recently dismissed due to withdraw, will FHA allow this? [Derogatory Credit Wait Periods – All Agencies – Chart]

Answer: The Chapter 7 wait period is well past, and FHA has no mandatory wait periods after a Chapter 13 dismissal, and does not discuss this event at all in their guidelines. That said, prudent underwriting would require a lot of scrutiny on the borrower’s payment history for the last 12-24 months as well as explanations regarding the borrower’s [...]

2019-03-25T08:58:02-05:00March 25th, 2019|