Have you recently filed for bankruptcy? Are you considering it? If you also have plans to purchase a home, there are a few things you should know about how bankruptcy can affect mortgage approval.
There are two common forms of bankruptcy that an individual may file: Chapter 7 and Chapter 13. For each type of bankruptcy, lenders follow their own set of guidelines regarding the length of time you have to wait before purchasing a home.
So what’s the difference between Chapter 7 and Chapter 13 bankruptcy? And how does each affect your mortgage application?
The meaning of earnest money is in the name. It’s a deposit of good faith on the pending loan from buyer to seller. This sort of investment sets you apart from other buyers by showing your serious intent to purchase a home. This money doesn’t disappear either, and it serves to protect both buyer and seller financially.
If you’re beginning to think about the HUD-1 Settlement Statement and looking over your Good Faith Estimate, chances are you’re about to close your VA loan. This exciting time comes with a lot of paperwork, and many people have trouble understanding the jargon and minutia of home loans.
Luckily, the GFE and HUD-1 Settlement are intended to help you understand your home loan completely. Here’s a breakdown of how to approach these documents and the discrepancies between the two.
Understandably, many first-time homebuyers are confused when it comes to interest rates.
Complicating the issue further, potential borrowers are bombarded with a lot of information, and it can become difficult for them to know when they are getting the best deal. You want to make sure you’re getting all of the correct information when making one of the biggest purchases of your life. By doing so, you ensure you’re making an informed financial decision and not just picking the company quoting you the lowest number.
The best way to do that is to do your homework about the different types of rates you’ll be quoted.
The Department of Veterans Affairs established Minimum Property Requirements (MPRs) to ensure that our service members were buying homes that were safe, structurally sound, sanitary and up to code. Buyers often complain when a MPR is pointed out during an appraisal, but if complaints happens to you, know that these safeguards are really there for your benefit, and for the benefit of your home.
Here’s an outline of five of the most frequent MPR issues to help you better plan your purchase and know what questions to ask before making an offer.