Mortgage Refinance after a Bankruptcy
Refinance after a BK, FHA Refinancing, Subprime Loans

Bankruptcy MortgageRefinancing after a bankruptcy used to be a daunting process that required borrowers to accept a bad credit mortgage or a BK loan with a high interest rate and costly pre-payment penalty. These days, after two years, borrowers can reestablish credit with a low rate FHA refinance. We suggest FHA Refinancing and taking out a mortgage loan with cash out after a bankruptcy is more possible today than ever before. Nationwide Mortgage Loans offers bad credit first and second mortgage refinancing after a foreclosure, bankruptcy, debt settlement and consumer counseling. Once you after a bankruptcy it is important to reestablish your credit with good payments on consumer loans and credit cards, but rebuilding your mortgage credit is imperative. There have been many new loan guideline changes, so even if you were turned down in the past, you may still qualify for a mortgage that lower your payment and save you money. Getting a bankruptcy mortgage is possible today as many of the underwriters have moved to ease the refinance guidelines.

Bankruptcy mortgage loan options should be carefully considered in an effort to achieve the lowest possible mortgage rate with the best possible refinancing terms. We offer FHA mortgage loans, subprime refinancing, loan modifications, second mortgages and home equity loans for homeowners who have been out of bankruptcy for a year or two, depending on the program and the amount of equity you have in your home. Lock into a fixed rate second mortgage that can save you money.

FHA Mortgage Refinance Spotlight

No loan on the planet offers better mortgage terms after a bankruptcy than FHA mortgages. Borrowers can qualify for a low 30-year fixed interest rate loan with no pre-payment penalty for early pay-off.

FHA mortgages are government insured loans that are offered up to 97% rate and term or 95% for refinancing terms with cash out. (credit scores are not a factor, but mortgage history is critical)

The FHA Secure loan was introduced in 2007 to help troubled borrowers get back on course, but the government recently discontinued the program. However, they did announce the new Emergency Homeowner Loan Program that should extend more relief to distressed borrowers.

Also see options for FHA Streamline Refinance, FHA Mortgage Rates.

Are you seeking guidance on mortgage refinancing after a bankruptcy? If you currently have an adjustable rate mortgage or home equity line of credit, it makes a lot of sense to review your refinance options for a fixed rate second mortgage. We suggest fixed rate loans help secure your finances because it provides a fixed monthly payment, & a fixed interest rate for a fixed term. You can take out a loan against the equity in your home when you need cash, with either a 2nd mortgage or an equity line of credit, depending on your situation. Both loan types offer tax advantages that most other financing options don't offer.

Finance News Update - Experts Predict Bankruptcy Filings Predicted to Rebound

The new bankruptcy law that generally went into effect on October 17, 2005 caused a feverish rush to file.

The BK filings have been slow for consumer bankruptcy professionals throughout the United States . According to the NACBA the rate of filings will pick back up during the first quarter of 2006. The increase in credit card minimum payments, increased fuel costs and increasing interest rates on adjustable rate mortgages are primary reasons for anticipated filings.

Do Lenders ever allow second mortgages for paying off a Chapter 13 Bankruptcy?
Ask Linda?
Yes, there are a few second mortgages available that allow you to eliminate a Chapter 13 BK out of the loan proceeds at the time the loan funds. I don't want to mislead you though, it is very difficult, and the rates offered for that program are significantly higher.

Check with your friendly loan consultant. and see what programs are available today. Don't just look at the interest rate. Consider the terms. Is the rate fixed or adjustable? Make sure you are comparing mortgages that are the same loan type. (I.e. 30 year fixed)

Alternatives to Bankruptcy:

  • Curb Spending Habits
  • Consolidate your credit card debts into a 2nd mortgage
  • Refinance your 1st mortgage & consolidate debts

Loan Program Update

40 Year Mortgage

In addition to saving money with a lower monthly payment, 40-year mortgages offer longer terms, thus increasing borrowers' purchasing power by enabling them to qualify for a larger loan amount than a 30-year fixed.

Many adjustable-rate mortgages (ARMs) are nearing their adjustment period, leaving borrowers with ARMs at the mercy of rising interest rates. It's time to lock in your rate with a 40-year fixed mortgage that provides a long-term, stable solution to interest rate uncertainty.

40 yr. Program Highlights:

  • 500 credit score.
  • Past Bankruptcy, Late Payments OK.
  • 50% debt to income ratio
  • States income programs
  • 35- and 40-year fixed-rate terms available.

Check with your friendly loan consultant at Nationwide.

By increasing the standard loan term from 30 to 40 years, monthly payments are significantly lower, and they become more attractive, because they are more affordable. In addition to being more cost effective, the 40-yr mortgage increases borrowers' purchasing power. The 40-year Mortgage is ideal for borrowers who face affordability concerns and think homeownership is beyond their reach. First-time homebuyers or those living in high-cost areas seeking manageable monthly payments may find this amortization term attractive. The 40-year Mortgage is eligible on standard fixed-rate loan products as well as our standard 3/1, 5/1, 7/1 and 10/1 Adjustable rate mortgages. With longer terms, homeowners obtain reduced mortgage payments that are easier to qualify for allowing borrowers to get approved for larger loan amounts as well.

Click Here For a Free 40 Year Mortgage Quote

Bankruptcy Reform Update

2005 will be remembered as the year for bankruptcy reform. After more than five years of partisan infighting, President George W. Bush gave his imprimatur on April 20 to the Bankruptcy Abuse and Consumer Protection Act of 2005. The most sweeping changes to U.S. bankruptcy law since 1994 became effective on October 17, 2005, precipitating a blizzard of last-minute consumer bankruptcy filings to avoid the more stringent eligibility requirements created by the new law. Part of the legislation was an entirely new section of the Bankruptcy Code - chapter 15 - to govern cross-border bankruptcy cases. The May/June 2005 edition of the Business Restructuring Review contains a comprehensive analysis of chapter 15 and significant provisions in the new law applying to business debtors.

 

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Additional Refinancing Pages:
Refinancing after a Bankruptcy | Second Mortgage Refinance | Adjustable Rate Refinance | Loan Overview | Reduced Payment Mortgage | Mortgage Refinance Options | 100% Refinancing | 40 Year Consolidation | Bad Credit Refinance | Cash Out Refinance | Bad Credit Mortgage | Sub-Prime Mortgage Refinancing | Mortgage Refinance Guidelines | Rate and Term Refinancing | Home Loan for Bad Credit | Subprime Loans | Low Credit Score Home Loans | Bad Credit FHA Mortgage
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