The waiting period for obtaining an FHA or VA mortgage after bankruptcy is two years after you receive your Chapter 7 bankruptcy discharge.. It normally takes about three months to get your discharge after we file your bankruptcy petition with the court. However, there is a new rule that allows you to obtain an FHA or VA mortgage after bankruptcy in as little as 12 months after you receive your discharge, if you can show that the bankruptcy was caused by extenuating circumstances beyond your control and if you have since exhibited a documented ability to manage your financial affairs in a responsible manner. For Chapter 13 bankruptcy, it is possible to obtain an FHA mortgage after you have made one year of timely payments under your bankruptcy payment plan. You must also have permission to enter into the mortgage loan from the bankruptcy court.
If you need to file bankruptcy, save yourself a lot of misery and do it before matters reach this point. When you file a bankruptcy petition, you are protected by the automatic bankruptcy stay against collection efforts and you don’t need to worry about being held in contempt of court.
For more information regarding your specific situation, contact Minnesota Bankruptcy Attorney Gregory J. Wald at 952-921-5802 or at www.www.gregorywald.com for a consultation.
