What is the FHA back to work – extenuating circumstances program?
This new program offers past or present mortgage holders a “second chance” if they’ve experienced a prolonged unemployment or financial hardship that has caused them to fall behind on their mortgages.
Thanks to this program, anyone who was a victim of the recent economic recession can enjoy the privilege of home ownership in as little as one year even after they’ve declared bankruptcy, gone through a short sale or foreclosure.
Back On Track
The FHA back to work – extenuating circumstances program is the governments way of acknowledging that the recent economic recession forced millions of once responsible homeowners into circumstances like foreclosure and bankruptcy.
Before the FHA back to work – extenuating circumstances program, a former homeowner had to explain their recent default, foreclosure or short sale and explanations like: death of the primary income earner were commonly accepted, but because extenuating circumstances have been redefined, and it’s now common for people to qualify for the FHA back to work – extenuating circumstances program if they had a prolonged job loss, due to the recent economic recession which resulted in economic hardship.
Do you Qualify?
You may qualify for the FHA back to work – extenuating circumstances program if you’ve experienced the following:
- 20% loss of income for six months or longer.
- Loss of income resulted in bankruptcy, short sale or foreclosure.
- You’re able to show that your loss of income created financial hardship.
- You can show that even though you had a loss of income, you recovered financially.
Back On Track
Building a “paper trail” is critical for you to qualify for the FHA back to work – extenuating circumstances program and receive a Satisfactory Credit. You must be able show that your credit history is free of any late payments and all derogatory marks on your credit report are a thing of your past.
If you currently have a mortgage and want to qualify for the FHA back to work – extenuating circumstances program you must be able to show that you’ve been paying your mortgage on time for the last 12 months and if you’ve used vehicles like loan modification, you must be able to show that you’ve made all off your payments in accordance with your loan modification agreement.
To learn more about the FHA back to work – extenuating circumstances program or to view Bend Oregon homes for sale, contact me today by calling (541) 383-1426.