How to Get a Mortgage After Declaring Bankruptcy in Colorado

Bankruptcy is a term that if often scary. But, COVID-19 has left many Coloradans with mounting debt. Bankruptcy is a solution that has helped numerous Coloradans conquer their debt.  Are you looking for a home but have filed for bankruptcy in the past? It is still possible to take out a mortgage after declaring bankruptcy. Barry Arrington will work with you personally to solve your debt problem in order to get you approved for your new home. Barry Arrington can get you on your way to a new mortgage after declaring bankruptcy in Colorado.

 

 

How Will my Bankruptcy Affect Buying a New Home?

Filing Chapter 7 or Chapter 13 bankruptcy, will affect how soon you can buy your new home. Barry Arrington will work with you one-on-one in order to figure out which choice is the best for you. There are multiple ways to obtain a mortgage after filing for bankruptcy. Some loan possibilities include: A Federal Housing Authority Loan (FHA), a Veteran’s Affair (VA) loan, a United State’s Department of Agriculture (USDA) loan, and a conventional loan. Each of these has different benefits and can be affected by the type of bankruptcy you filed.

Chapter 7 Bankruptcy

The first option for obtaining a mortgage after declaring bankruptcy is filling for Chapter 7 bankruptcy. Filing for Chapter 7 bankruptcy is normally used for dealing with debt that has become completely unmanageable. You may qualify for a FHA within two years of filing for Chapter 7 bankruptcy. It normally takes around three years to obtain a USDA loan after filing. However, filing Chapter 13 bankruptcy may allow you to be approved for a home loan faster.

Chapter 13 Bankruptcy

Chapter 13 bankruptcy normally requires a payment plan for up to five years. After filing for chapter 13 bankruptcy, it is possible to get an FHA or USDA loan after just one year. A private loan is a possibility to those who have filed Chapter 7 and Chapter 13 bankruptcy. Barry Arrington will help you figure out which type of bankruptcy is best for you, so that you are able to buy your dream home in the future.

 

Mortgage After Declaring Bankruptcy

A New Path Forward

COVID-19 has left many questioning if bankruptcy is the right choice for them. Many Coloradans have lost their jobs or have fallen behind on their loans. Barry Arrington will guide you through the process of debt relief, personalizing a plan for you through one-on-one communication that can help you get a mortgage after declaring bankruptcy. He will help you to decide if Chapter 7 or Chapter 13 Bankruptcy is right for you and how it will affect your home owning future.