You may think it is impossible to get home loans after foreclosure and/or bankruptcy , and those two big financial pitfalls can indeed be difficult to climb out of. However , it is still possible to get home loans after foreclosure and bankruptcy. Lenders will not loan funds too soon after you file bankruptcy or lose your home to foreclosure , but after a certain amount of time , you will probably be able to get a loan again.The bankruptcy laws in the United States recently underwent radical changes; in 2005 , the new laws went into effect. Those new regulations made it much more difficult for an individual person to file a chapter 7 bankruptcy , and even if it has been twenty or thirty years since you filed bankruptcy , it is nearly impossible to declare bankruptcy a second time. This fact makes some lenders see you as a viable option for a new loan. Theyknow you will not be able to file bankruptcy again. They know you have little or no debt after the bankruptcy. Therefore , your chances of being able to start fresh and make your payments on time are pretty good. Plus , no matter how they feel about your ability to repay the loan , they are able to justify charging you higher-than-average interest rates , so you become profitable to them. Getting home loans after foreclosure and bankruptcy is possible , contrary to what most people think. Will you have to pay more for the privilege? You bet! But can it be done? Itís a very real possibility.In much the same way as a bankruptcy , a foreclosure eliminates your biggest debt: your home mortgage. Therefore , once you have a foreclosure in your history , you also no longer have a big mortgage payment due.With a bit of time and careful attention to re-establishing your credit history by paying your bills diligently and getting rid of other debt such as credit card debt and car loans , there are lenders who will find it acceptable to offer you a mortgage. Home loans after foreclosure and bankruptcy can be had. Will you have to pay more for the privilege? Yes , certainly. But can it be done? Yes , most likely.If you have gone through a bankruptcy or foreclosure , it is important to realize that you are not alone. Millions of others have gone through the same situations. You should also not be so embarrassed that you fail to ever try to get a home loan again. Although it may seem like the most embarrassing thing in the world , lenders understand that these things happen. Much like a doctor does not want you to be embarrassed to say that you have frequent diarrhea or occasional incontinence , your banker does not want you to be embarrassed to admit that you made mistakes in the past.A doctor needs to know everything; if he or she does , she can most likely help you. A lender is there for you , as well. It is not his job to make judgments; it is his job to find people to whom to lend money. If your lender knows everything , he or she can likely help you , as well. Home loans after foreclosure and bankruptcy are within the realm of possibility for most people.
