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Saturday, 21 May 2011

Buying a house during bankruptcy

What are the thing to know when buying a house during bankruptcy ?

Depending on how long ago the bankruptcy was, your credit report will contain details of your bankruptcy so this will affect your credit rating.
The mortgage that you get will possibly need higher payments or loan to value ratio than if your credit history shows no bankruptcy.

check for errors in your credit report so be sure to get a copy of your full credit report to see if there are any outstanding loans on there that you may not know about.

Here are a few other factors to remember:
You need to make sure you are credit worthy.
You may have to pay higher interest rates on the mortgage
If your trying to get a mortgage during a chapter 13 then you may need to have the courts permission.

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