We have been getting borrowers with recent bankruptcies asking about financing after a bankruptcy. Fortunately, FHA is very forgiving when it comes to bankruptcies.
A Chapter 13 BK requires NO seasoning after 12 months of timely payments into the BK.
Chapter 7 & 11 BKs require 2 years of seasoning in most cases, or 1 year with “extenuating circumstances” (must be documented and severe).
Conventional Financing requires 4 years of seasoning in most cases, or 2 years with “extenuating circumstances”.
In all cases, borrowers must re-establish credit AFTER a BK (with “secure cards”, car loans, etc.).
Founder/Broker | JVM Lending
(925) 855-4491 | DRE# 01524255, NMLS# 335646