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Mortgage After Bankruptcy: These Steps Could Help

If you want to increase your chances ofIf you have copies of your credit reports
qualifying for a mortgage after bankruptcy,from each of the major credit reporting
here  are  some  steps  you  can  take:agencies (Experian, Equifax, and Trans Union)
this will help also. Your credit report will
First, if you plan to apply for a mortgageplay a major role when it comes to qualifying
after bankruptcy, you will want to have anyfor  mortgage  after  bankruptcy.
inaccurate or obsolete negative information
on your credit reports corrected or removed.On that note, if you want to increase your
This  can  help  increase  your credit score.chances of qualifying for a mortgage after
bankruptcy, make sure that any inaccurate or
Also, you will want to establish some newobsolete negative information is removed from
accounts, and pay them in a timely manneryour credit report. This is important for two
over time. If you've paid the accounts onreasons: (1) It can mean the difference
time for about 18-24 months since yourbetween qualifying or not qualifying for a
bankruptcy, this should help rebuild yourmortgage after bankruptcy, and (2) if you end
credit - which can be a plus when applyingup qualifying for mortgage after bankruptcy,
for  a  mortgage  after  bankruptcy.any inaccurate or obsolete negative
information on your credit report could cost
Next, you will want to work with anyou up to $1,000s or even $10,000s in
experienced mortgage broker. Why? Becauseadditional  interest.
buying a home is probably going to be one of
the biggest investments you'll make. You willHow do remove any inaccurate or negative
want to have an experienced professionalinformation from your credit report, so you
guiding you through the lending process -can improve your chances of qualifying for a
especially when it comes to applying for amortgage after bankruptcy? There are specific
mortgage  after  bankruptcy.steps you need to take. While I cover them in
After Bankruptcy Credit Solutions, there is
A mortgage broker typically has access tonot enough room to go into detail here. Just
dozens of lenders and will probably have aremember that ideally you want rebuild your
good idea of which ones will (and will not)credit history before applying for a mortgage
approve you for a mortgage after bankruptcy.after  bankruptcy.
In addition, they will be able to tell you
what to expect in terms of the financingBy the way if you think that removing
process.inaccurate or negative information from your
credit reports takes a long time, I have good
So how do you find a mortgage broker? One waynews. There is a way to have it removed in as
is to to ask friends or real estate agentslittle as 72 hours - the service is typically
for a referral. Once you have a few names,not available directly to consumers. In After
set up an appointment to interview eachBankruptcy Credit Solutions I show you how to
mortgage  broker.find this type service if you are trying to
qualify  for  a  mortgage  after  bankruptcy.
Among other questions, you will want to know
if they have successfully been able to getIn this article we touched on two important
other individuals a mortgage aftersteps you can take if you plan on applying
bankruptcy. You also want to make sure theyfor a mortgage after bankruptcy: Correcting
are  licensed.or removing any inaccurate or obsolete
negative information from your credit
Another question you will want to ask is whatreports, and finding a mortgage broker to
type mortgage loan (A, B, C, or D) theguide  you  through  the  lending  process.
mortgage broker thinks you can qualify for.
Why? The lower the grade of the loan, theCopyright 2006 Innovative Solutions
higher the interest rate. This is anPublishing,  Inc.  All  rights  reserved.
important consideration when applying for a
mortgage  after  bankruptcy.The company and product/service names
referenced in this article are the
In addition, there are other importanttrademarks, registered trademarks or service
questions you will want to ask a potentialmarks of their respective owners. None of the
mortgage brokers - ones that could help youowners have sponsored or endorsed this
save money and/or increase your chances ofarticle.
qualifying for a mortgage after bankruptcy.
While there isn't enough room to cover themDISCLAIMER:
here, I go into detail on them in After
Bankruptcy  Credit  Solutions.This information is designed to provide only
a general overview of the subject matter
Also make a point to bring your financialherein.
information with you when you meet with a
mortgage broker. For example, you should haveThis information is provided with the
your income and expenses available as thisunderstanding that neither the publisher nor
will help the broker determine the loanauthor is engaged in rendering legal,
amount you may be able to qualify for when itaccounting or other professional advice. If
comes  to  a  mortgage  after  bankruptcy.legal or other expert assistance is required,
the services of a professional should be
Generally speaking, most lenders will allowsought.
you to get a home loan with a payment of up
to 28% of your gross income. So if you makeNeither the publisher nor author shall be
$4,000 per month, that would be $1,120. Butliable for any loss or damages, including but
keep in mind that this just an example.not limited to special, consequential,
Again, a good mortgage broker can explain theincidental or other damages, caused by the
criteria  that  each  lender  has.information contained herein.



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