Ok, here's the situation, I've read everything, and I'm as confused as ever, because it doesn't seem like there's a carbon copy situation out there (though there probably is and I've just missed it), so I figure I'll turn to the knowledgeable members here for their input.
I declared Ch 7 in 12/08, was discharged/closed on 4/07/09. Mortgage was included in the bankruptcy (FHA backed / does not show up on credit report as foreclosure, only as Chapter 7 discharged / IIB). Lost the house due to ex-wife dragging out divorce, kicking me out and then renting it out and then it getting foreclosed on after we both had declared bankruptcy.
Since then, I've gotten a secured card, rebuilt my credit from 480 up to 624 as of yesterday and gotten re-married. My new wife has perfect credit (over 800) but has a high DTI ratio (med student with high loans but graduated and is working now), whereas I have a comparable income, but lower DTI. Two years will have passed in April, which is when we will be looking to get a house, but since the prior mortgage was FHA backed, will they not be able to use me as a co borrower? The house was foreclosed upon after my bankruptcy was discharged, so are they going to say no to me being a co borrower? My wife's credit is great, but I worry about the amount they will let her borrow as opposed to if they use both our incomes. Would a conventional mortgage even be possible since it'll only be two years after Ch 7 for me? Or should I resign myself to waiting longer and saving up a larger downpayment? We should have at a minimum a 20-25% down payment when we are ready to purchase. Any advice is greatly appreciated!
I declared Ch 7 in 12/08, was discharged/closed on 4/07/09. Mortgage was included in the bankruptcy (FHA backed / does not show up on credit report as foreclosure, only as Chapter 7 discharged / IIB). Lost the house due to ex-wife dragging out divorce, kicking me out and then renting it out and then it getting foreclosed on after we both had declared bankruptcy.
Since then, I've gotten a secured card, rebuilt my credit from 480 up to 624 as of yesterday and gotten re-married. My new wife has perfect credit (over 800) but has a high DTI ratio (med student with high loans but graduated and is working now), whereas I have a comparable income, but lower DTI. Two years will have passed in April, which is when we will be looking to get a house, but since the prior mortgage was FHA backed, will they not be able to use me as a co borrower? The house was foreclosed upon after my bankruptcy was discharged, so are they going to say no to me being a co borrower? My wife's credit is great, but I worry about the amount they will let her borrow as opposed to if they use both our incomes. Would a conventional mortgage even be possible since it'll only be two years after Ch 7 for me? Or should I resign myself to waiting longer and saving up a larger downpayment? We should have at a minimum a 20-25% down payment when we are ready to purchase. Any advice is greatly appreciated!
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