Qualifying on a new loan if walking away from non reaffirmed loans?

[momof3b1g]

2 years after ch 7 discharge. On a ride through with both mortgages. If we apply for a FHA loan. Do you have to figure in the current mortage payments in the income to debt ratio? Or seeing we technically dont owe anything, 0 balance shows on credit report.
We dont "have" any payments to consider?

[drowning123]

Good point that you don't have any payments. They'll look at your bank statements, though, no?

[momof3b1g]

Good point that you don't have any payments. They'll look at your bank statements, though, no?

Yes we are paying. but are not obligated to do so. We would not have both payments once we assumed the new loan.

[drowning123]

Go for it - explain everything to them and you should be good to go.

[momof3b1g]

Go for it - explain everything to them and you should be good to go.

I tried, they dont seem to agree. I need to find out what is legal. What I need to do to bet them to approve it. I read some have had their attorney call and says that tehy are not obligated to pay the mortgage etc.

[Ann]

Now Im really really confused...I thought regardless of whether you paid to stay you cannot get approved for a new mortgage loan if you are planning to walk away from your current home even if you did not reaffirm. Maybe I'm reading too much here and it's all too confusing. Someone please clear this up for me. Thank you!

[momof3b1g]

Now Im really really confused...I thought regardless of whether you paid to stay you cannot get approved for a new mortgage loan if you are planning to walk away from your current home even if you did not reaffirm. Maybe I'm reading too much here and it's all too confusing. Someone please clear this up for me. Thank you!

I dont think you cannot do it. But I think the lenders dont want to lend to you if you do.

[cltmoto]

You can't do it - check the other thread I just had going. They'll want to know what's going on with the existing loan - it's called "buy and bail" - lots of good information on the internet and this forum about it.

[Charlie777]

The rule on FHA is 2 years from BK discharge, or 3 years from completion of the foreclosure, short sale or deed-in-lieu. That is measured from when the deed is recorded out of your name. You haven't even started that clock. True, you don't owe any money due to the BK discharge. But the deed is in your name, subject to the security interest(s) of the lender(s). So when you stop paying on the stay and pay, the bank will (in it's own sweet time) move to foreclose. When the foreclosure is completed and the deed is recorded, the 3 year clock starts.

[screentest]

The rule on FHA is 2 years from BK discharge, or 3 years from completion of the foreclosure, short sale or deed-in-lieu. That is measured from when the deed is recorded out of your name. You haven't even started that clock. True, you don't owe any money due to the BK discharge. But the deed is in your name, subject to the security interest(s) of the lender(s). So when you stop paying on the stay and pay, the bank will (in it's own sweet time) move to foreclose. When the foreclosure is completed and the deed is recorded, the 3 year clock starts.

Charlie said it best. There are no shortcuts into a new mortgage with FHA/Fannie/Freddie. Just have to wait it out after FC or qualify with both mortgages.

ST