Brooklynites- Had A Bankruptcy or Short Sale- FHA Reduces Wait Time to one year to purchase a home again


Question: How long do I have to wait after a short sale or Bankruptcy to be able to buy a home a again


Answer: one Year


Brooklynites- Had A Bankruptcy , foreclosure,  Short Sale- FHA Reduces Wait Time to one year to purchase a home again

In an effort to further help the  housing market and return residents to home ownership The  FHA has come out with Mortgagee Letter 2013-26 allowing individuals who were affected by the recent economic downturn to purchase a home again using the FHA loan.  Persons  who had a short sale (pre-foreclosure sale), deed-in-lieu, or foreclosure and anyone with a negative impact on their credit  FHA  is  waiving their current waiting periods of three years for foreclosures and two years for bankruptcy as long as the individual  meet new requirements.

According to FHA, an Economic hardship  Event is any occurrence beyond the borrower’s control that results in Loss of Employment, Loss of Income, or a combination of both, which causes a reduction in the borrower’s Household Income of twenty (20) percent or more for a period of at least six (6) months.

If the person  can prove a 20% decrease in income from year over year and as a result were forced into either a foreclosure type transaction and or bankruptcy, and can prove that you have re-established their  credit over the last 12 months,with  no late payments, collections, or judgments, and meet all other minimum HUD requirements, that person  may be eligible to purchase a home again.
The  new Mortgagee Letter 2013-26 allows the person  to buy a home again or even refinance a  home after only 1 year opposed to either 2-3 years depending on their situation. 

* If you are ready to buy  a Brooklyn home again, speak to your banker or mortgage lender, get approved and call me to begin your search for a new Brooklyn home for sale for you and your family. 


Michele Cadogan

Cell: 917-861-9166

Fillmore Real Estate

Licensed Real Estate Associate Broker

2926 Ave J

Brooklyn NY 11210


About Cadogan's Brooklyn Real Estate Blog

Brooklyn New York Real Estate Associate Broker Michele Cadogan is a Brooklyn NY real estate professional who understands the Brooklyn Real Estate Market. She makes the process of buying and selling real estate in Brooklyn a good experience. A long time Flatbush Brooklyn resident, she has a tremendous appreciation of the borough, its great history and its diverse communities. With a degree in Political Science and Economics she brings a balance perspective to the Brooklyn NY real estate experience. Experience in marketing Brooklyn New York homes to local, national and global buyers, clients can always expect quality service Truly a professional in a people oriented business. So, when you are looking for a real estate agent in Brooklyn to help you buy or sell a Brooklyn Real Estate home call Michele. Brooklyn homeowners if you want to sell your home call Michele for a Free Market Analysis of your Brooklyn home at 917-861-9166 Not ready to buy or sell a home in Brooklyn and simply looking to rent an apartment in Brooklyn or just curious about the price of home in your Brooklyn neighborhood. Call : Michele Cadogan Fillmore Real Estate Licensed Real Estate Associate Broker 917-861-9166 Your Brooklyn Real Estate Professional Brooklyn Real Estate homes for sale #BrooklynRealEstateForSale #MicheleKnowsBrooklynRealEstate #BrooklynHomesForSale
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