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Applying for a mortgage three years after a foreclosure

I understand it takes three years after a foreclosure before you can apply for another mortgage (FHA).  I am about five weeks away from the exact three year date.  Does that mean I officially cannot begin any pre-qualifying until that exact date?  I am just getting nervous because I am noticing home values skyrocket in my region and this three year rule is really impairing my ability to purchase a home while they are still relatively affordable.

My credit is clean otherwise.

Thank you.
  • April 07 2013 - Brea
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Answers (4)

Best Answer

You should be OK to start looking for your lender and getting the process started now. FHA uses the application date to determine when the three years are up, and there is not an application until there is a property, so it is OK to start the process beforehand. 

Do you know the date the foreclosure transferred title back to the bank? I have been talking to a lot of people lately that thought their three year period had already gone by only to find out that the transfer happened a long time after when they thought it did for one reason or another. 

Sincerely,
Greg
  • April 08 2013
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Good afternoon,

Yes, three years is the waiting period so you can get pre-approved today and start shopping!  By the way, if you have VA eligibility we are able to help you buy again the day after you did a short saleof your home without so there is no waiting period at all.

Good luck!!
  • April 09 2013
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It is time to find yourself a realtor, shop for active homes and put in offers...
I work with a few lenders, and all the realtors work with lenders that will tell you exactly how close you are, you may have to wait a few weeks to start, but having yourself prepared goes a long way.
Good job on keeping your credit clean.
  • April 08 2013
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Greg is correct. You can start dipping your toes in the water to find the lender you want to work with. This way, you can be prepared for that 3 year mark. Take his advice and check the county records for the exact date the property was deeded out of your name. That is the date the clock actually started ticking.
  • April 08 2013
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