There are two issues that will be taken into account by the lender, they’ll verify your income and probably request a down payment.

Waiting period

There is a waiting period you’ll have to face after bankruptcy has been discharged. Most lenders will require that 3 years have gone by since the discharge before even considering granting you a loan. During this time you should make sure your bills are paid on time and you don’t fall behind payments, so when you finally apply for a loan your credit will have improved considerably and you’ll be able to get a home loan without the need of money down.

Down Payment

If you intend to get a mortgage loan before this waiting period, you’ll need to meet very strict requirements. You’ll have to show that you haven’t missed a single payment nor you have late payments at all. You’ll also be required to provide a down payment in order to get approved. You’ll have to put as much as 10% of the property value down. If you can’t provide a down payment it is quite difficult to get approved but there are still other options.

You can always borrow the money from family or friends. You can always repay them since when you get the home loan you’ll be able to request a home equity loan as you’ll by then own the property. Bear in mind though, that some lenders are reluctant to accept down payments not raised directly by the applicant and you are obligated to reveal this information, so you might as well ask the lender before making such a move

There are programs that can help you with down payment too. These basically provide the seller the ability to help the buyer with the down payment which is otherwise strictly prohibited. You can ask your real estate agent for this information as they are surely able to provide it. Some lenders are also reluctant to accept this kind of transactions, but you can always try.

Another option is to apply for government grants, there are grants specially designed for helping people in this kind of situations. Consult with local offices and with your real estate agent weather you qualify or not for such aid. As opposed to the previous options, government grants do not need to be repaid so they should be the first solution to consider as you could save thousands not only by not paying back the principal but also by avoiding interests.

Where to find information

You can find all the information, contacts and figures online by searching the net, but if you feel you need some guidance you can always seek professional help. You can contact your real estate agent or you could join some of the online sites that provide access to many home loan lenders and government grants. That way you can solve this issue from the comfort of your home.

Mary Wise, a professional consultant with twenty years in the financial field, helps people in the process of securing personal loans, mortgage, refinance or consolidation loans and preventing consumers from falling into the hands of fraudulent lenders.