Any lenders offering conforming rate and term for bk's with less than four years seasoning?

Bk was discharged in May just over two years since discharge.

1 Answer

Yes, FHA will allow you to obtain financing again after 2 yrs. It will depend on what type of BK you did (7 or 13)and if you have reestablished your credit since the BK. Some lenders have overlays on top of this (and require a longer wait period), but a few go by FHA's guide lines with no overlays. From HUD:

A Chapter 7 bankruptcy (liquidation) does not disqualify a borrower from obtaining an FHA-insured mortgage if at least two years have elapsed since the date of the discharge of the bankruptcy. During this time, the borrower must have  re-established good credit, or  chosen not to incur new credit obligations. An elapsed period of less than two years, but not less than 12 months, may be acceptable for an FHA-insured mortgage, if the borrower  can show that the bankruptcy was caused by extenuating circumstances beyond his/her control, and  has since exhibited a documented ability to manage his/her financial affairs in a responsible manner. Note: The lender must document that the borrower’s current situation indicates that the events which led to the bankruptcy are not likely to recur. Thanks, Dan