Tag Archives: foreclosure

When Can You Buy a Home After a Foreclosure

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By recovering your credit ratings after foreclosure, you can become a homeowner again.

By recovering your credit ratings after foreclosure, you can become a homeowner again.

Many Americans were forced into a foreclosure or short sale over the past few years due to job loss, decreased incomes and declining home values. The market is recovering now and homeowners who did fall victim to foreclosure or short sale may now be wondering when they will be able to purchase a home. The real estate pros at the Equifax Finance blog addressed this question in the recent article, “

Can I Buy a Home After a Short Sale or Foreclosure?”

According to the article, when is the right question, not if. Homeownership is a smart idea but buyers will have to demonstrate the ability to pay for a mortgage with proof of sufficient and stable income, the willingness to pay based on credit ratings and the ability to provide a sufficient down payment. But when depends on individual circumstances. In order to buy a home again, “you must focus diligently on improving your credit and saving money.” There are five variables that go into your ability to secure financing on a home:

  • Duration of delinquency – the longer your short sale or foreclosure proceedings took, the worse
  • Deficiency judgments – how much unpaid negative debt you were left with on your

    credit ratings after your short sale or foreclosure

  • Interest rate – a lower credit score may mean a higher interest rate, which can make a big difference on a major purchase like a home; waiting until you can get a better interest rate can save you thousands of dollars
  • Down payment – a higher down payment may be required; some rules require down payments of up to 20 percent (saving that much will take some time)
  • Waiting period – many major investors and mortgage insurers have set rules on how long a borrower has to wait after a foreclosure or other housing problem, from two to seven years, depending on your situation

Get the full article on the Equifax Finance blog, and while you’re there, get more personal finance advice on topics like retirement, taxes, credit and more.

Special Deals for the Ready to Buy in HUD Homes

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HUD Homes can be great for ready homebuyers or those eager for investing

HUD Homes can be great for ready homebuyers or those eager for investing

Those looking for the inside scoop on some lesser known real estate deals should consider HUD homes, where those that are ready to buy can scoop up great deals. HUD homes are often popular for those interested in

investing, but they can also be a great path for cash-strapped but savvy homebuyers. The Equifax Finance Blog explores how these homes are different in a recent article, “

How To Buy A HUD Home.”

A HUD home is a special kind of

foreclosure which has been repossessed from Federal Housing Agency loans. In an effort to get these homes back with people living in them, HUD homes are often competitively priced with special incentives for owner-occupiers. These special incentives include a special 30 day window of opportunity for owner occupiers to put in offers.

The offer period and many other facets of HUD homes are different from traditional homes, so it is more important than ever to have an experienced HUD real estate agent when looking for a deal with these homes. The agent can help your tell good from bad in these homes, help you strategize through the online offer process, give you sound advice throughout the entire process and more.

For information about HUD homes as well as

real estate predictions and news, explore the frequently updated Equifax Finance Blog.

Read These Tips Before Buying Carolina Foreclosures

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tips for buying foreclosures

tips for buying foreclosures

Regardless of how experienced you are when it comes to buying Carolina real estate, buying your first foreclosure or REO property is a much different process. In a recent post on the

Equifax Personal Finance Blog, real estate expert Ilyce Glink examines some of the main differences between buying new homes and foreclosures.

One difference is that you cannot put a financing contingency on a foreclosure. Also, buying a home from a homeowner may allow you to negotiate pricing, especially if the home is in need of repairs. However, when dealing with bank-owned properties, getting the bank to make repairs is highly unlikely.

In “

Buying an REO or Foreclosure: What You Can Expect and What Can Kill the Deal,” Glink says that one of the big differences between buying from a homeowner and purchasing a foreclosure is the attitude of the seller. Negotiating with a current homeowner is usually a more emotionally-involved process. He or she will want to get a certain amount of money to support the family and to pay for a new home. The house may also hold sentimental value. Offering too little could make the seller upset, making it harder to negotiate.

On the other hand, dealing with the bank is much more of a pure business transaction. Glink says even though you’re technically helping them out, don’t expect them to help you out. The bank simply wants to minimize losses and sell the property.

To learn about more differences visit the 

Equifax Personal Finance Blog and read the full article.