Question:

What to do after foreclosure if I want to buy a new home?

Answer:

People who had their house foreclosed often wonder what to do after foreclosure and whether it is possible to buy a house again with a foreclosure mark on the credit report.

Well, it is possible to get a house after foreclosure. However, one may need to be more careful when looking for a new home purchase.

Most lenders will require that your foreclosure is at least two years old. This is helpful to the borrower, too, as they have time to rebuild their credit and stabilize their finances. You could start rebuilding your credit by paying all your bills on time and have old erroneous items deleted from your report.

Debt consolidation will also have positive effect on your credit report, if you make payments on time, as this will establish a successful loan history.

Have in mind, even if you find a lender willing to waive the 2-year requirement, they will often require that you put substantial down payment, which may not be possible for the borrower.

Recommended helpful present and future homeowners links:
Why: Refinance to a fixed rate loan while mortgage rates are still low.
Link:
Why: Because FHA loans are insured by the US Federal Government they have very competitive interest rates and are easier to qualify.
Link:
Why: Know and protect your credit report and score.
Link: See All 3 National Credit Scores & 3 Reports Instantly, Online & Free
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Common misspellings: mortage and morgage