Article Side

Online Article Directory!

Hello Guest! Login or Register to submit articles!

Purchasing a Home when Foreclosure Has Ruined Your Credit

By William Hauselberg Subscribe to RSS | January 25th 2012 | Views:

Millions of Americans have been affected by the recent housing crisis, and now, many people who have lost their homes to the bank are wondering how to buy a home after foreclosure. Although suffering foreclosure is a devastating and frightening experience with serious consequences to your credit score, it does not mean you will never be able to own a home again. Although the process is not easy and will take some time, it is important to understand that all hope is not lost and it ultimately is possible to purchase a home with bad credit.

The Waiting Period

One of the first things someone who has suffered foreclosure needs to understand is the waiting period that will follow before you can purchase a home again. Although the mark on your credit report from bankruptcy or foreclosure will last up to ten years, the waiting period to buy a home is, on average, two to four years. The longer the wait, the better your rates will be, and you may even qualify for as little as 3.5% down.

During the wait period between foreclosure and your next purchase, it is important to try to improve your credit any way you can in order to order to qualify for better loans at better rates. An easy way to start rebuilding your credit is to obtain, use, and make regular payments on a major credit card. By making regular monthly payments in full, you will demonstrate financial responsibility and creditworthiness to lenders. It is important to try to pay your card in full each month and not fall behind in your payments, as it will further damage your credit.

Lease to Own

While working on improving your credit score, you may wish to explore the option of a lease to own home. Under a lease to own agreement, potential buyers have to option to purchase the property they are renting after a set, agreed upon timeframe. This timeframe will vary from property to property, but on average, buyers can purchase their rental property after about three years. The time spent leasing the property allows you to earn credit toward closing costs or a down payment on the purchase of the home as you work to build your credit.

Suffering a foreclosure does not have to mean the dream of owning a home is over. Options are available to help you build your credit, get back on your feet, and become a homeowner once again.

William Hauselberg - About Author:
The author has an immense knowledge on purchase a home with bad credit. Know more about how to buy a home after foreclosure related info in his website.

Share on Facebook Tweet It Stumbleupon this post This post is delicious !

Article Source:

Related Finance Articles Subscribe to RSS

Bad credit loans no fees: Shake Hands with Cash Crunches with Smile
Published by Cameron White on December 13th 2011 | Finance
Bad credit loans no fees are always ready to shake hands with poor creditors to let them feel comfor...
No credit search loans - Get Funds Without Verification Process 
Published by Alice Johnsonn on January 12th 2012 | Finance
No credit search loans don’t account your credit history and helps you to avail cash support in qu...
Prepaid credit cards help you in rebuilding your imperfect credit
Published by John Cena on January 11th 2012 | Finance
Prepaid credit cards are same as other plastic cards and prove to be helpful people to refurnish the...
How can i get dependable credit card debt advice and exactly how could it benefit me?
Published by on March 27th 2012 | Finance
Credit card debt advice is a program provided by debt companies to help those people who are battlin...
Free credit score report: why to get one
Published by Brigham Brock on May 29th 2012 | Finance
It is essential to begin creating a credit status as early as possible. You can start to create one ...
Same day loans no credit check - fight with the devils of financial crisis
Published by Sam Hopkins on December 3rd 2011 | Finance
Same day loans no credit check provide instant funds to an individual without looking into their pas...
Apply for credit card online and increase your liquidity
Published by John Matthew on December 28th 2011 | Finance
Credit card is one entity that has made millionaires out of the ordinary men, but at the same time t...
Free credit report no fee: know your financial standing
Published by Alice Marlen on May 25th 2012 | Finance
When you request for an extension of credit, loan or credit card, the promising credit grantor will ...
Procuring credit card in Australia had never been so easy
Published by John Matthew on December 27th 2011 | Finance
One of the best things that could have happened to the man in the present times was the easy availab...
Regain your financial standing through credit counseling Houston
Published by James on March 31st 2012 | Finance
There are lots of people who fall into a debt for different reasons. Usually after falling into a de...
Why hire a credit card debt management company?
Published by Yossi A on January 12th 2012 | Finance
As a matter of fact, it not only clears your already existing debt but also offer valuable technique...
Primary reasons to get a credit card processor online
Published by Neal on February 9th 2012 | Finance
There are countless advantages of having a merchant account or payment processor beside you. In this...
Christian credit counseling and credit counseling services
Published by James Blee on December 14th 2011 | Finance
This recession has been very tough for people who have especially taken loans against their credit c...
Top tips for money management and using a credit card
Published by Jesse Wallace on June 6th 2012 | Finance

Learning how to use your credit card effectively could help you balance and manage your debts....
Benefits of using business lines of credit
Published by Kemar Roach on June 12th 2012 | Finance
Small business line of credit is a kind of financing that is offered by a lot of business banks and ...
Understanding Christian and credit card debt settlement organizations
Published by Julia Roger on December 14th 2011 | Finance
With increasing debts among the majority of the population, people have started to seek professional...
Refinancing with bad credit now possible
Published by Kam Brar on December 16th 2011 | Finance
Are you suffering from bad credit? Are you still looking for different ways to get home mortgage, mo...
Getting settlement when it comes to credit card
Published by Rajkumar Kaushal on June 19th 2012 | Finance
Getting settlement when it comes to credit card is not very easy sometimes because of the details an...
Hard Money Loan No Teletrack- Grab loan with no credit checking
Published by Gorgie Nork on January 9th 2012 | Finance
Hard Money Loan No Teletrack can be availed with the aid of simple online process. This loan is usef...
Signature loans no credit check- Get fund with a simple signature!
Published by John Simen on April 9th 2012 | Finance
With the aid of signature loans no credit check, you can avail funds up to $15000 with your signatur...