Bankruptcy

ntn16

Hello,

 

My fiance are looking into buying a home in the next few years and I have a question about obtaining a mortgage. My fiance filed for bankruptcy 3 years ago and obviously has terrible credit. I however, have very good credit but am finishing up school so will not have 2+ years with the same employer by the time we apply for a mortgage. My question is, if we apply for a mortgage together will his income be considered? And do we have a shot at getting approved even though he has the bankruptcy? We will also be able to place a 20% down payment on our home.

Susie Derkins

You can either use your income and your credit, or his + your income and his + your credit.  You can't mix & match, to use his income but not his credit.

future mrs.beard

We closed on our house last month and my husband did the mortgage in just his name with filing for bankruptcy exactly 2 years ago. That being said we made sure he took the steps to better his credit (3 new lines of credit for over 12 months, all bills paid on time, not carrying large balances on his new credit card). He brought his credit up to the 670's and qualified for a 30 year fixed at 4%. We did an american dream home loan from US Bank so we dont have to pay PMI. I would think if you have the down payment and if he has taken the steps needed to better his credit you will be fine.

SuwaneeGirl

You can always meet with a mortgage officer right now and see what his/her advice is on this, or if there's any advice on what to do in the meantime to build up his credit. Good for you for having the 20% down.