mortgages and bankruptcy

May 25th, 2007 by Questions

We are a family of 6 and sold farm to get out of debt and now can’t get mortgage due to a file of personal bankruptcy at the same time. and now desperate for a home to safely raise kids in. I want to know why can’t a person be able to apply for a mortgage (within tight means),while bankrupt? A person always needs shelter and security. I feel a mortgage is considerably diiferent than a loan, am I wrong? or maybe there’s something I don’t understand!

Questions

One Response to “mortgages and bankruptcy”



May 26, 2007 at 8:35 am, A licensed trustee said:

You are correct that a mortgage is different than a loan, because it is secured by real estate. However, because you filed for bankruptcy, lenders now consider you to be a higher risk. You will need to demonstrate to them that you are an acceptable risk. You can start the credit repair process by saving money. Once you have built up a suitable down payment you will qualify for a mortgage. Another strategy may be to find a friend or family member to co-sign for you, which will increase your chances of getting a mortgage.

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