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FHA 3 year waiting period after foreclosure

I read the article regarding the possible elimination of this rule. Any new information on this? My credit is perfect, but my wife has a foreclosure (although perfect otherwise - had to do with a massive payment increase and no refi possibility prior to marriage). We're actually a really good credit risk and have significant income, but we're hampered by this waiting period. by aylo99114 from , . Jul 23rd 2013 Reply


William J Acres (William_Acres)
#1 ranked lender in Arizona - 8,000 contributions

There was rumors that FHA was going to reduce or even remove the waiting period for Foreclosures, however nothing ever developed.. Even if it had, it's unlikely any lender would jump on board.. understand that FHA only insures loans, they don't actually lend money... the lenders that actually lend will have their own set of guidelines on top of FHA guidelines.. it's these additional overlays that would prevent this program even If it were approved... however, there is nothing preventing you from buying a home on your own.. if you have sufficient income and can qualify on your income solely, you can purchase a home and add her to the deed once the loan has been finalized.. Depending on the laws in the state you live, it's possible your wife's debt would be added to your debt, in effect lowering your purchasing power, but only if you use FHA financing.. depending on your particular scenario, conventional financing is available with 3% down, and your wife's debt would not be included regardless.. if you want to know for sure, you should contact a LOCAL mortgage broker and apply with them. Do not use the local "Big" bank, or one of those 50 states internet lenders or nationwide lenders...By applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with numerous lenders, seeking out the best loan terms for your particular scenario. Because he has lower overhead, he can offer you lower rates and lower fees than most of the larger lenders.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Jul 23rd 2013
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Michelle Curtis Loan Originator NMLS 401173 (EmbassyFundingLLC)
#28 ranked lender in New York - 2,236 contributions

Unfortunately regardless of circumstances the 3 year rule is what lenders will go by. If you qualify with just your income you can buy the home in your name and add your wife to the deed. Call us or email us at 201-962-3555 or Team@BestMortgageOption.com for ano cost no obligation analysis of your situation ask for Michelle or Benny. We will find the Best Mortgage Option to suit your needs! Check us out at www.BestMortgageOption.comAsk us about the awesome discounts we offer heroes as a Homes for Heroes affiliate!

Jul 23rd 2013
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With our current administration you can count on FHA guidelines to get tougher, so I wouldn't expect any relief from the foreclosure. Fannie and Freddie already increased their wait period. What state are you in? What is your current FICO scores?There are a couple of ways you can go. Contact me and I will be happy to help any way I can. Scott Williamson - scottpwmson@gmail.com- 916-261-0499

Jul 23rd 2013
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Dave Metsker (DaveMetsker)
#37 ranked lender in Oregon - 2,317 contributions

You will just have to wait, unless your wife can qualify on her income alone.

Jul 23rd 2013
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Bert Carpenter (BertCarpenter)
#39 ranked lender in Arizona - 1,815 contributions

Don't hold your breath. FHA is not going to loosen this rule, and contrary to some assertions, "This Administration" has nothing to do with it. Virtually all of FHA's regulations come out of Congress, so blame them. Secondly, even if FHA did loosen the wait period, it is doubtful any of the lenders who actually make the loans will go along with it. If you are looking for a loan in CA or AZ, I have a product that will allow you to buy now, otherwise you are going to have to wait until her penalty period has expired, or do it yourself. Sorry. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ Certified by the National Association of Mortgage Professionals and Licensed in California and Arizona ~ www.LoansA2z.com 888-889-9950

Jul 23rd 2013
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Adrielle Edwards (AdrielleEdwards)
#877 ranked lender in California - 96 contributions

It is very unlikely that this rule will be eliminated; and as others have said, even if it is eliminated, it is unlikely lenders will go along with it. If you have enough income, apply for the loan on your own and add her to the deed later.

Jul 23rd 2013
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Gregorio Denny (GVDenny)
#225 ranked lender in California - 380 contributions

What can't you apply on your own without your wife? With FHA her debts will be counted into your DTI but her credit is irrelevant. Assuming the previous loan has been satisfied through foreclosure ( as it should be in CA) you should be able to finance your purchase alone. Contact me for details.

Jul 23rd 2013
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Steven Cook (stcookmortgage@gmail.com)
#39 ranked lender in Washington - 256 contributions

There was considerable speculation about that last fall, and that is all it turned out to be. Your best course of action it is to contact alocal, licensed mortgage professional and see about doing the mortgage in your name alone - with your wife added to the deed, if you can qualify.You might also want to check with a local real estate professional to make sure you do this in way that doesn't create problems down theroad.

Jul 23rd 2013
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Gregorio Denny (GVDenny)
#225 ranked lender in California - 380 contributions

"WHY" can't you; not "what" can't you.

Jul 23rd 2013
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Carlo Sanchez (MortgageLendingPro)
#0 ranked lender in Utah - 1,163 contributions

The 3 year rule is hear to stay so just buy the house with your own money and keep her off the loan.

Jul 23rd 2013
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Elden Lewis (elewis_409_299)
#41 ranked lender in Indiana - 223 contributions

I don't want to duplicate what has already been said about this but to reaffirm that whats has been said is accurate and good advice.

Jul 24th 2013
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Jason Vondrak (jvondrak)
#187 ranked lender in California - 1,722 contributions

There were rumors that this rule would be changed, but nothing has actually changed thus far. Have you considered trying to qualify for a mortgage based on your credit and income alone?

Jul 24th 2013
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,553 contributions

I've never heard ever a rumor of eliminating that rule. If anything, there is a much stronger chance of them increasing the waiting period.

Jul 24th 2013
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