Wednesday, December 14, 2011

Chapter 7 and FHA loans?

I recently went through Chapter 7 bankruptcy. During the proceedings the trustee took possession of my rental house that was in perfect standing with the mortgage company. Since that time, he's evicted the tenants and has not paid one penny toward the mortgage but has yet to put the house up for sale although he states that's his intent (it's been 7 months!!). Consequently, the mortgage company is now foreclosing. Given that the house is still legally in my name, but the foreclosure is not my fault, how well this affect my ability to get an FHA loan in the future?

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