What Kind of Impact Will a Foreclosure Have on My Future?
A foreclosure can have a tremendous impact on your credit score, dropping it nearly 200-300 points. This can make it extremely difficult to get loans, jobs, and credit cards. Not only will a foreclosure make it difficult to get loans in the future, your interest rates will go up as well, making it near impossible to accomplish your future goals.
When Can I Get a Home?
Typically after a foreclosure, it can take 3 – 7 years before you are eligible buy a home again. However, depending on your credit score, the reason you go into foreclosure (illness, divorce etc.) and the type of lender you have, everyone’s circumstances will be different. After a Chapter 7 or during a Chapter 13 bankruptcy, you can get a government guaranteed mortgage in three years if the recent credit history is decent or 92% of plan payments have been paid timely. You can get one in two years if you were not in foreclosure or if there were exceptional circumstances leading to the foreclosure. The banks will not tell you this because they do not want to take a loss and want to pile up fees.
So What Should I Do?!
Get someone you trust to help you through this difficult time! A foreclosure is a scary experience to go through no matter who you are, make sure you are comfortable with those who you choose to include through this process.
At Welke Law Firm we can get you back on track to have your life back. Don’t let banks take advantage of your misfortune. We realize that life happens, so we are here to provide legal guidance and emotional support so you can get back on your feet.
Give Us A Call…