If you have recently lost your home in a foreclosure, short sale, or bankruptcy, and are looking for a second chance at purchasing a new home, you’ll be excited about this news. Last month the Federal Housing Administration (FHA), recently announced a rule change that will allow many potential borrowers to purchase a new home just one year after losing a previous residence. This new option is called the “Back to Work – Extenuating Circumstances” program.
Although several conditions need to be met, this could be an opportunity for you. To qualify, borrowers must prove that they lost their home because of a significant economic incident, such as losing a job. Circumstances must have changed significantly, resulting in the family income being fully recovered when applying for the new loan, too. Those wishing to purchase a home must also have an adequate credit score and participate in a one-on-one counseling session lasting one hour.
In addition to these conditions, borrowers need to meet all other FHA requirements as well as having a solid history of on-time rental payments, no more than one 30 day late payment to creditors, and no reported collection or court records. This program could be a great way to gain approval for your home. If you’d like to learn more about local homes for sale, give me a call. I’d love to help you find out more about this program and available homes.
Aaron Zapata is the broker owner of Zapata Realty, Inc. located in Yorba Linda, CA. He has been a licensed broker for over a decade and has been working in the real estate industry for over 16 years.
Aaron began his career as a part-time telemarketer for a top producing Real Estate broker-owner in Whittier. Within a few years he was running the entire company and helped grow the company by hiring and training over 200 agents and overseeing the escrow, mortgage, and property management divisions.
Aaron holds a degree in Biblical and Theological studies from Biola University and a Masters in Business from Cal State Fullerton. He has been quoted by the Los Angeles Times, Orange County Register and the Associated Press and is an author and speaker. He is also maintains designations and memberships with nearly a dozen organizations aimed at raising the standards and ethics in the real estate industry. Although ranked in the top 1% nationwide, he gives each client his focused attention with the simple purpose of doing what is best for them. Nearly all of his business comes from referrals from his satisfied clients.