Common challenges
Waiting periods differ by event and program, and many borrowers wait longer than they need to.
Programs that fit
Non-QM Loans
A non-QM (non-qualified mortgage) loan is any mortgage that documents income or credit outside the standard Qualified Mortgage rules, using bank statements, a P&L, 1099s, assets or rent instead of W-2s and tax returns.
FHA Loans
An FHA loan is a government-insured mortgage that allows 3.5% down with a credit score of 580 or higher, or 10% down with a score from 500 to 579.
DSCR Loans
A DSCR loan is an investment-property mortgage that qualifies you on the property’s rental income divided by its monthly payment (the debt service coverage ratio).
Bank Statement Loans
A bank statement loan is a non-QM mortgage that calculates self-employed income from 12 or 24 months of personal or business bank deposits instead of tax returns.
Tips before you apply
- Note your discharge or completion date exactly.
- Rebuild with two or three on-time accounts.
FAQ
What is the best mortgage for after bankruptcy or foreclosure?
It depends on your documentation and goal. The programs that most often fit are Non-QM Loans, FHA Loans, DSCR Loans, Bank Statement Loans.