Mortgage loan before discharge

[Asweet1]

I have been in chapter 13 bankruptcy for over two years. I was told that I could get a mortgage loan if my credit score was high enough. I talked to a mortgage broker again and now she's saying that I will have to pay off my chapter 13 before I can close on a house. I'm wondering if anyone else has purchased a home while still making chapter 13 payments? What kind of loan was it and what did you have to do to get it?

If not, are they just jearking me around to make me think I can get a mortgage, or what.

Anything you know about it will help...

Thanks.

[HRx]

Hi,

Your best bet is to make a few phone calls to different lenders - both prime and subprime to find out what their mortgage criterias are.

Good Luck!

[harvijo]

we filed a chapter 13 in august of 2001...in november of 2002 we bought our first house. yes, we were still in the plan. we had to have 12 months worth of perfect pay on our bankruptcy, and our utilities (they couldn't use our credit because of the bankruptcy). we had to pay in full any post-bankruptcy debt, which we just had a telephone bill from our prior service provider. the lender for which we applied had one of the credit bureaus..i believe it was Equifax...call me and they used our bankruptcy paperwork along with our telephone conversation to clean up our credit (basically just getting everything notated as being included in the bankruptcy that wasn't showing as such). then we had to write a letter to the underwriter of the lending institution as to why we filed the bankruptcy. as far as the bankruptcy, we had to submit paperwork to the trustee asking for permission to incur new debt for the purpose of buying a home. the paperwork included an amended budget to include the mortgage payment and we had to submit paystubs to support how we could continue to pay our bankruptcy payment AND a mortgage payment. the mortgage could not put undue hardship on our plan. once the trustee approved it they sent us a letter stating so and we were off to close on our home. we got an A loan also..meaning that our interest rate was the prime rate at the time..6%.
i hope this helps answer your question.