Louisville Kentucky Mortgage Lender for FHA, VA, KHC, USDA and Rural Housing Kentucky Mortgages: Fannie Mae Waiting period for Foreclosures, bankruptcies, and short sales for a new mortgage loan approval

CONVENTIONAL FANNIE MAE KENTUCKY LOANS

Derogatory Item	Waiting Period
Foreclosure	Home given back to the bank – No owner participation � 7 years from date foreclosure completed and transferred back to bank – No extenuating circumstances * � Extenuating circumstances - 3 years from date foreclosure completed and transferred back to bank with 10% down. Primary home purchase and rate and term refinance only. No second homes or investments. Qualifying extenuating circumstances are death or well documented extended illness.
Short Sale Deed in Lieu of Foreclosure	New rule - started August 16. 2014 Short Sale = Home sold but sales price less than owned Deed in Lieu = Home returned to lender in exchange for forgiving loan � 4 years from date sale closed and transferred to a new owner or transferred back to bank
Bankruptcy – Chapter 7	Debts are discharged through BK, client does not pay any debts owing � 4 years from discharge date � 2 years from discharge date possible with extenuating circumstances *
Bankruptcy – Chapter 13	Debts are paid back on a monthly scheduled payment plan � 2 years from discharge date � 4 years from dismissal date
Bankruptcy AND Foreclosure House INCLUDED in bankruptcy	New rule - started August 16, 2014Bankruptcy AND foreclosure, with home foreclosed on included in bankruptcy. Waiting period is based on bankruptcy discharge date, not foreclosure date, regardless of how long after the bankruptcy the official foreclosure occurred. Fannie Mae only