Forum Rules (Everyone Must Read!!!) (updated: 04/28/2015)

Welcome to the Bankruptcy Forum. Bankruptcy (BK) Forum is known as and will be referred to as BKF hereinafter. In order to ensure a long term success of our vibrant community, we have established certain rules and guidelines to which everyone must adhere to. Please take your time to carefully read our rules, before you start to participate in the community.

Things you agree to do: (BKF) users agree to use the search function before starting a new thread. This prevents duplicate discussions and allows for better organized topics.

All BKF users agree to read the sticky posts which may be available at the top of a forum page. These Sticky posts often contain valuable information. They may also outline more rules and guidelines specific for that particular forum, stickies are put in place by that forums moderator(s) or admin(s).

Things you agree not to do:

All BKF users agree not to call people names or write a post simply to make a personal attack, or get a negative reaction; this behavior is not allowed on our forum. The use of derogatory language aimed at anyone will be severely dealt with. There is no need to agree with each other, or to even like each other. However, by signing onto you agree to treat each member and guest with the respect they deserve. No threats or personal attacks will be allowed.

All BKF users agree not to discuss, engage, or encourage any behavior or activity which violates the law. Discussion of drugs, violence, murder, theft, vandalism, fraud or any other issue which could be used to help individuals break the law is strictly forbidden.

All BKF users agree not to "bump" old threads, unless there is a specific benefit to the community by doing so. But in most cases, please don't post in very old threads, instead start new threads.

All BKF users agree not to attempt/use another members account. It is against BKF rules to use any account other than your own. Impersonating another member will result in an immediate ban. It is also against the rules to open more than one account in your own name without permission from a moderator or administrator. If you have been banned for any reason, it is against the rules to open another account. If you were banned temporarily and you are caught using another account you will be banned permanently. Choosing a moniker which is similar in either sound or spelling as a moderator or administrator is strictly forbidden.

All BKF users agree not to private message any moderator, admin, or other member with questions related to their personal circumstances (Questions about the forum or issues with the forum are ok). This forum only works when members share their experience and insights with everyone.

Things you agree not to post:
All BKF users agree not to post any derogatory/racist/or sexist remarks. This includes attachments, links and all information contained within posts, signatures, and avatars, failure to comply with this rule will result in a permanent ban.

All BKF users agree not to post any copyrighted or trademarked information without the express written permission of the owner(s) / proper citation of source.

All BKF users agree not to post any real names, addresses, telephone numbers, email addresses, social security numbers, or any other personal details (their own or other people's).

All BKF users agree not to post links, pictures, attachments, videos, or the like of pornographic content, objectionable material or extreme violence, whether cartoon or real.

All BKF users agree not to use BKF for advertising purposes without a written contract between yourself/company/agent and the administration of BKF. Blatant advertising will result in a ban.

All BKF users agree not to spam the forums. Spam includes but is not limited to posting erroneous, non-relevant-useless, off-topic, or meaningless posts. Spam may also include posts which contain no text, or large areas of blank space between lines. Simply posting emoticons without text is considered spam. BKF is the largest bankruptcy message board and all the content is intended to help other users. Please help us improve the quality of our forum by making sure that your posts are well-worded, spell checked, grammatically correct and syntaxed.

Regarding actions of moderators and administrators:

The forum is no place to air out your opinion or be judgmental of our staff and its capabilities.

All BKF users agree not to abuse or mistreat moderators or administrators. It is against BKF rules to post any information regarding bans or any other action taken by a member of the moderating or administrative team. If you wish to discuss bans or warnings please do so via PM. To place a complaint against a moderator, send a PM to a super moderator. All Moderators are equal, any decision made by a moderator must be adhered to. If a moderator tells you something you do not like, do not go to another moderator looking for a different answer. If you are caught doing this you will be banned. The moderators work as a team and respect the decisions made by their peers and will help enforce them unless an administrator tells them differently.
If you have an issue with how the forum is run, then notify one of our administrator and we will look into the situation. We have in the past and still do appreciate any input that you offer this forum. But critical input and/or judgmental postings towards the staff will result in you getting banned.

Should you find a thread offensive or out of line, then notify a Mod in a PM so they can evaluate the situation and do the action deemed necessary.

All moderators do have active "other" lives outside of the forum and help moderate this forum in their spare time throughout the days and weeks.

If you have a problem with a member or Mod follow the proper channels of reporting it.

BKF reserves the right to delete any posts which contain anti-BKF comments or discussion. Any bashing of moderators or administrators, or any of their discussion or actions will also be deleted, and the responsible posting party(s) will be banned. Any public anti-BKF advertising, communication, or posts on another forum will result in permanent bans as well.

All warnings and bans are decided by individual moderators and administrators. Warnings are preferable to bans however, for serious offenses and repeat abusers bans will go into effect. The length of the bans can vary from several hours to permanent.

All messages posted or sent including through PM are the property of

All BKF users agree not to advertiser on the forum (Niether by posting, private messaging or using your signature). If you are a company/attorney/legal adviser wishing to advertise on the site or sell a product, you must contact the head administrator and inquire about our advertising packages.

All bankruptcy related opinions expressed on are those of their authors and not necessarily of BKF, its staff or representatives.

You agree not to copy any material/post/content from BKF without written permission from our head administrator .

By posting on this forum you agree to these terms and conditions, including any punishment deemed appropriate by moderators or administrators in the event of an offense.

Administrators/Moderators can change these rules at any time without prior notice.
See more
See less

Buying a house after Bankruptcy

This is a sticky topic.
  • Filter
  • Time
  • Show
Clear All
new posts

  • Thats my new "thing" now --- to buy some land. I grew up in the pseudo-country (no traffic light in the entire township) just outside of Metro Detroit. I really have no interest of ever living in a subdivision and obviously not in a city. Land is going for about $15k to $45k an acre with usually a minimum of 2.5 per house by ordinance. With that in mind, I can purchase the property and build my own house at my own pace.

    I currently rent (live with a buddy) and pay $400/mo to share a nice condo loaded with all of the latest electronics and new furniture. That covers the utilities and even the $130/mo cable tv/internet bill.

    I'm specifically looking at one of two 5 acre lots on a main road that are priced in the $100k range. The $700/mo mortgage payment (105k @8.5% w/20% down) isn't that bad and I could still live in the condo while I build my house.

    Hell, after a couple months I could do a excavation and a basement for under $6000 and pay straight cash for that. Then do the floor, etc... all paying for it up front with cash.
    Filed: October 13th, 2005
    341: April 11th, 2006 (Took 6 mos.)
    Discharged: May 31st, 2006
    Closed: May 31st, 2006

    Chapter 7


    • Best bet- save for larger down payment and wait

      At least that is what I am doing. I received my discharge in March 2006 and will wait a couple more years before I buy a place. That to save for larger down payment as homes are way overpriced in California and to season my credit and FICO scores for better mortgage. Besides California real estate is a bubble and prices are starting to drop this year. So to wait a few years, save up a good down payment and build credit back to at least a 720+ FICO will be best strategy. That and to have a stable job for at least 2 years to please the lenders and banks. I had a lot of unexpected things happen to me this past year that taught me a lesson on why savings are important like having to spend 3k in auto repairs on my 10 year old car and a new computer for business as well as losing a client and income and the EDD screwing up my unemployment checks.


      • I still think this market has a LONG way to go down. I can't be the only one in foreclosure that hasn't been prediction is we see a big increase in foreclosures this spring as the mortgage companies finally report all the ones they've been holding off the books.

        Values here in my area dropped 27% Year over Year according to the front page of this weekends paper. That's catastrophic. Foreclosures were up a mere 97%.


        • Wait for market correction on real estate

          I agree- many good sites have research such as and socalbubble. Most likely at least 2-5 years for market correction to complete for homes in southern California. The interest only loans (ARMS, etc.) and no money down EZ credit will boomerang on folks who really cannot afford these million dollar homes in San Diego.

          I plan to save up 100k for a down payment in next 3-5 years and work on building a stable job the next few years. I have a couple secured cards that I obtained after my Ch7 discharge this year and my car loan is paid off so that should help my credit score when it comes to take out a loan for my first home. Learn to budget save and invest. I rarely use credit except for small purchase on occasion because if you max out cards that is bad for your FICO score. I cook most of my meals and eat out only at cheap lunch specials for Asian restaurants and do not waste money anymore.


          • Originally posted by mixxalot View Post
            I plan to save up 100k for a down payment in next 3-5 years and work on building a stable job the next few years. I have a couple secured cards that I obtained after my Ch7 discharge this year and my car loan is paid off so that should help my credit score when it comes to take out a loan for my first home. Learn to budget save and invest. I rarely use credit except for small purchase on occasion because if you max out cards that is bad for your FICO score. I cook most of my meals and eat out only at cheap lunch specials for Asian restaurants and do not waste money anymore.
            What a great post-bk example you are setting, mixxalot! You've learned the hard lesson of bankruptcy very well....that borrowing more and more money doesn't fix not having enough money. You changed your lifestyle and ways of thinking about money which is the best way back to strong financial health after filing.

            You will succeed beyond your wildest dreams now, and all of us can learn from your excellent example - thanks for sharing!
            Last edited by lrprn; 12-21-2006, 11:21 PM.
            I am not a lawyer and this is not legal advice nor a statement of the law - only a lawyer can provide those.

            06/01/06 - Filed Ch 13
            06/28/06 - 341 Meeting
            07/18/06 - Confirmation Hearing - not confirmed, 3 objections
            10/05/06 - Hearing to resolve 2 trustee objections
            01/24/07 - Judge dismisses mortgage company objection
            09/27/07 - Confirmed at last!
            06/10/11 - Trustee confirms all payments made
            08/10/11 - DISCHARGED !

            10/02/11 - CASE CLOSED
            Countdown: 60 months paid, 0 months to go


            • Living within means the key and emergency funds

              Thanks, I also advise having a simple budget even if you happen to make a good salary and a rainy day fund for emergencies. Case in point, this year I was on a project for the Navy which paid me $85/hour as a contractor. However, a month into the project the client got cold feet and kicked me off the contract. I saved up most of the earnings and this kept me going until the new job back in San Diego. One thing that I learned from my post BK credit class was to budget and track spending and find ways to cut expenses. It costs me 10 cents to make a latte/espresso with my home cappacino machine that cost me 20 bucks at Target versus a $4 latte at Starbucks and only 99 cents to make a power 4 egg and cheese breakfast omelet with my omelet pan instead of wasting $8-10 in a breakfast cafe. Amazing how it adds up! That and since I do not drink or smoke that saves a lot :-)

              Also see a lot of folks who spend money on junk instead of savings and from many friends and colleagues from China, Japan and India- these cultures tend to save and are frugal more so than most Americans. Just a thought and better to drive a car for 10-20 years and live simple to have peace of mind financially. Nowadays myself and family do not buy gifts- we make crafts for each other and save money and have a good holiday dinner instead of expensive gifts.

              Happy Holidays!


              • Interesting how this post came back alive...

                (In Michigan, note that my only expenses are car insurance, cellphone bill, and food)

                I'm looking at a house in the $169k range. My ch.7 bk has been discharged since May 31st and my scores are now showing 590-610. In the next few days I need to make a decision on this property I like. They mortgage brokers are saying the best they can do is that I pay 5% down and do an interest only loan at 9.6% for two years and then do a conventional. My jaw nearly shattered when it hit the floor.

                Yeah, I can afford the $1360/mo "interest only" payment but should I do this? Yea that will be $16,320 that I can write off my taxes (save approx $3800+ in taxes or like $320/mo). Income base upon $44k/yr (my income will probably crest at $55k mid 2007). This knocks me down into a lower tax bracket too.

                With that said, am I actually getting a decent deal for the first 2yrs considering my bk history? Factoring in the tax savings the payment will be like $1040/mo. No PMI is needed. If I can pay an additional $300/mo towards principal, would I be coming out pretty good at the end of the 2yrs when I go to get a conventional loan?
                Filed: October 13th, 2005
                341: April 11th, 2006 (Took 6 mos.)
                Discharged: May 31st, 2006
                Closed: May 31st, 2006

                Chapter 7


                • One shouldn't spend more than 25% of gross salary on housing. With a gross income of $44k, 25% per month is about $917. Taking on a mortgage of $1360 with an interest-only mortgage means you'll be paying about 37% of your gross salary for housing (that's before taxes).

                  Where will you come up with an additional $300 to put toward principle? That puts your housing expense at 45% of your gross income. Look at your paycheck. Can you live on less than half of it without the mortgage payment?

                  Do you have a statement in writing from your employer stating the salary increase to $55k a year? Do you live in an at-will employment state? If so, you can be terminated for no reason at all. Can you afford the house then until you find another job? If not, you'll be stuck with a deficiency balance since you can't file BK again. If you don't pay the extra toward principle, are you sure you can secure a new mortgage at a lower rate with 0% equity?


                  • California housing bubble and prices

                    Well I sure wish real estate prices would drop in San Diego where I live. The market is way overpriced even for a tiny 2 bedroom condo costs about 300-400k. SFR homes that are standard 3-4 bedroom with 2000 square feet are running like 700-900k. However, most folks are overextended who buy here and I predict a drop in 3-6 years when I will be ready to buy. Folks are taking out risky ARM and payment type loans and using home equity like an ATM machine to buy luxury cars like Mercedes, expensive SUVs and BMWs.

                    Not only will more foreclosures occur but drop in prices (I hope) otherwise will need to rent for next 5 years. But its okay, I can save and budget and my car is paid off so expenses are food, rent, phone, gas and insurance and my one student loan (14k) that should be paid off by the end of 2008. I want the student loan paid before I decide to buy a place in 2011 or 2012. I may decide at the point to find a cheaper state to live or continue to wait out housing market in San Diego. It seems one has to make 200k a year to buy a decent home in southern California and average salary is only 50k here for normal income family.


                    • 900k for a 2000sq foot home?

                      Hell in Michigan you can get 10 acres of land an a 5yr old house; even near Metro Detroit for that price. I'm targeting vacant parcels of land or an old house on some land. IMO i have my finances very under control. I would like to get a place to stay at for a long long time.

                      What blows my mind here is that people spend 600-900k for a very nice house on a postage stamp size lot where if they were to live 10 minutes further away they could get the same new huge house on several acres. Maybe I have a biased opinion because I grew up around farmland.
                      Last edited by debtjumper; 12-28-2006, 04:44 PM.
                      Filed: October 13th, 2005
                      341: April 11th, 2006 (Took 6 mos.)
                      Discharged: May 31st, 2006
                      Closed: May 31st, 2006

                      Chapter 7


                      • A few years back when I was shopping for a mortgage my credit union told me that they don't charge PMI with a 3% or 5% down. May be you can check with your credit union and see if they have something similar.


                        • improving your score

                          do you carry balances on those cards? if so, how high are they compared to your credit limit?

                          i ask because i also have 2 cards. the months that i paid my balances in full, my score shot up to 626. the month i made minimum payments, it went back down to 585. that's a huge differance just because of my balances!!

                          i suggest you try the same.


                          • Please continue this conversation in the sticky thread that's in this forum.
                            The information provided is not, and should not be considered legal advice. All information provided is only informational and should be verified by a law practioner whenever possible. When confronted with legal issues contact an experienced attorney in your state who specializes in the area of law most directly called into question by your particular situation.


                            • If your FICO scores are in the mid 600's you can go stated income or No Doc for a slightly higher rate. However, they require that your bankruptcy be at least 2 years old. So that does put a ding in most peoples plans if they wanted a house within a few months after there bankruptcy.


                              • Re: Buying a house after Bankruptcy

                                hey thanks!!!!


                                Unconfigured Ad Widget