How soon after Chapter 7 Bankruptcy can I buy a house? 20 Answers as of June 10, 2011

I’m debating on filing for bankruptcy and need to find an attorney who can help. I will be giving up my house because I cannot make anymore payments on it and am wondering if I’ll ever be able to purchase another house? If so, how long do I have to wait?

Ask a Local Attorney. 100% Anonymous. Free Answers.

Free Case Evaluation by a Local Lawyer: Click here
Burnham & Associates
Burnham & Associates | Stephanie K. Burnham
You will need to wait until you have sufficient income to afford the payments on the home. There is not set schedule for when you can apply for a home loan, it will depend on the Lender and underwriting requirements.
Answer Applies to: New Hampshire
Replied: 6/10/2011
Law Office of Maureen O' Malley
Law Office of Maureen O' Malley | Maureen O'Malley
Yes, I've had clients buy a house within 2 years of filing. However, I believe that has now increased to 3 years. To do that you'll need to maintain a stellar credit rating, have cash in the bank and a reliable job. Bankruptcy remains on your record for 10 years but does not eliminate the possibility of obtaining debt for that full time. That being said, I don't recommend applying for any credit for at least 2 years.
Answer Applies to: Virginia
Replied: 6/9/2011
Gresham Family & Bankruptcy Law
Gresham Family & Bankruptcy Law | Lillian Suelzle Watson
Based on my understanding of your question about how long it will be after bankruptcy before you can buy a house is a difficult question. Buying a home is based on your credit history, so it is reasonable to assume that immediately after bankruptcy it will be difficult or impossible to obtain a new home loan. However, a home loan is determined by various factors. One factor would be how much you put down on the purchase of a new home. If you only borrow 40% of the value of the home and have a down payment of 60% of the purchase price, a bank may make a loan sooner after bankruptcy then if you only have a 10% down payment. The various types of loan programs decide what credit rating you will need. Say a VA loan may look at a foreclosure differently than a FHA or a standard loan from a mortgage company. In the past, if you had re-established credit, you may been able to obtain a home loan after 3 to 5 years. Again, it depends on your job, your income and expenses and other factors. If the only debt you have is your mortgage, you may not want to file for bankruptcy. In Oregon if your home is taken back by the mortgage company they cannot sue you for left over debt after the sale of the home. If you have a second mortgage or other consumer debt, a bankruptcy may be appropriate. If you want to speak with our bankruptcy attorney, we will give you a free consultation to discuss what is appropriate in your circumstances.
Answer Applies to: Oregon
Replied: 6/9/2011
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
When you can buy another one depends on your income and what you do after the bankruptcy. Buying a house will never be like was before this big crash. Credit requirement will be tighter and proving you have the ability to pay will be a big factor. If you are in a bind now, file the bankruptcy and get this behind you as soon as you can.
Answer Applies to: California
Replied: 6/9/2011
Steven D. Keist, Attorney at Law
Steven D. Keist, Attorney at Law | Steven D. Keist
There is no set answer. It depends on the lender and your income.
Answer Applies to: Arizona
Replied: 6/9/2011
    Mercado & Hartung, PLLC
    Mercado & Hartung, PLLC | Christopher J. Mercado
    A BK filling will have an adverse impact on your credit and hence, will be something a lender will consider before approving you for a mortgage. Generally, there's no definite time frame.
    Answer Applies to: Washington
    Replied: 6/9/2011
    Bankruptcy Law Office of Robert Weed
    Bankruptcy Law Office of Robert Weed | Robert Weed
    Two years after the bankruptcy is discharged BUT three years after your current house is out of your name. Depending on your state and your mortgage company, it sometimes take a long time for them to foreclose after the bankruptcy. So think seriously before you move out of the house. Don't move too soon.
    Answer Applies to: Virginia
    Replied: 6/9/2011
    Law Offices of Michael T. Krueger
    Law Offices of Michael T. Krueger | Michael Krueger
    Surrendering your home though bankruptcy is much better than letting your home go to foreclosure. Speaking to a trusted mortgage broker will be your best option for learning when you will be able to purchase a new home. Depending on the type of loan your are looking at, you can receive a loan as soon as 2 years from the discharge of your bankruptcy according to the mortgage broker I use.
    Answer Applies to: California
    Replied: 6/8/2011
    Lakelaw - Loop Bankruptcy
    Lakelaw - Loop Bankruptcy | David Leibowitz
    You can buy a house after bankruptcy when your credit allows for it. This has been as short as a year or two for people who re-establish credit quickly and have good income.
    Answer Applies to: Illinois
    Replied: 6/8/2011
    Bankruptcy Law office of Bill Rubendall
    Bankruptcy Law office of Bill Rubendall | William M. Rubendall
    Lenders require a bankruptcy discharge to happen before considering someone for buying a house. In reality it probably takes more than one year of paying your bills on time before you will be considered.
    Answer Applies to: California
    Replied: 6/8/2011
    Ursula G. Barrios Law
    Ursula G. Barrios Law | Guillermo Machado
    Can be as little as 2-3 years.
    Answer Applies to: California
    Replied: 6/8/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    You can expect to wait at least three (and most likely four) years after the house you now have is taken by foreclosure or you can sell it at the short sale or deed it back to the bank if the bank agrees. Your ability to buy a house in the future will be affected by both the bankruptcy and the foreclosure, short sale or deed in lieu of foreclosure to get rid of the house. Bankruptcy does not mean you will no longer own the house. It has to be taken back by the bank at a foreclosure sale or sold by your for less than the amount owed (short sale) with the bank's permission and that will take some time.
    Answer Applies to: California
    Replied: 6/8/2011
    Edward Papa, Esq.
    Edward Papa, Esq. | Edward Papa
    It is possible in some cases to buy another home 2 years after bankruptcy.
    Answer Applies to: New York
    Replied: 6/8/2011
    Indianapolis Bankruptcy Law Office of Eric C. Lewis
    Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
    Typical turnaround time for financing a new mortgage after the bankruptcy discharge is two years.
    Answer Applies to: Indiana
    Replied: 6/8/2011
    Daniel Hoarfrost, Attorney at Law
    Daniel Hoarfrost, Attorney at Law | Daniel Hoarfrost
    You are eligible for conventional financing 2 years after filing a bankruptcy. The credit decision has more to do with whether you have steady income and an appropriate down payment.
    Answer Applies to: Oregon
    Replied: 6/8/2011
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    Currently, probably about 5 years if the house is foreclosed on and you show a record of good credit after filing.
    Answer Applies to: California
    Replied: 6/8/2011
    Law Office of L. Paul Zahn
    Law Office of L. Paul Zahn | Paul Zahn
    There is not specific answer. Your credit will initially probably preclude you getting a loan (absent a co-signer) but you can rebuild your credit over time such that you can eventually qualify for all types of loans. There is no specific time frame, but you can start rebuilding your credit almost immediately. If you are in my area and are looking for an attorney, please contact me for a free consultation.
    Answer Applies to: California
    Replied: 6/8/2011
    Ashman Law Office
    Ashman Law Office | Glen Edward Ashman
    You can buy a new house at any time. If you are creative (owner finance, lease-purchase) you may find deals right after filing. Most traditional lenders will be more likely to approve you after about 2 years.
    Answer Applies to: Georgia
    Replied: 6/8/2011
    The Law Office of Mark J. Markus
    The Law Office of Mark J. Markus | Mark Markus
    You don't have to wait at all. The issue is whether or not someone will lend you money for a new home, and that depends on the individual lender, and what your job status is, as well as how you've rebuilt your credit post-bankruptcy.
    Answer Applies to: California
    Replied: 6/8/2011
Click to View More Answers:
12 3 4 Free Legal QuestionsConnect with a local attorney