Do we have a chance to get mortgage?

[Flamingo]

I read all of the above and you received some good advice - first, your credit scores at present are a bit low to get any good rates for a mortgage - they put you into a higher risk pool. That, on top of the fact that your Chapter 7 is on your credit reports until 2017 (10 years from date of filing), is a big issue also. Your debt load at this time after a 2007 filng is also high. What you need to do is consult with/work with a mortgage broker who works with folks with a BK on their records to see what your options are. The attorney who handled your chapter 7 is a good starting point for a broker reference - they go through this all the time and can offer resources/help.

[mountanddo]

You really should read EVERYTHING before posting - we are not saving every penny. We make double/triple payments on our cars and gained a lot of points in that type of credit for doing so. Take a hike

I think the point everyone is trying to make is that you are using 50% (was 70%) of your available credit. Regardless of why you had to do this is irrelevant. No one is saying that you shouldn't get a mortgage ever just that maybe now isn't the right time. Concentrate on getting into an apartment and paying down your unsecured debt first. The economy is what got you into this and IMO it is only going to get worse not better. Who's to say this won't happen again? If you buy a house now and you are still in debt as much as you are and you both lose your jobs in two years you now have 2 more years to wait before you can file BK again and trust me you don't want two BK on your record. Your credit scores after 4 years out of BK are still under 600 and have been since you filed. The statement "we are ONLY using 50% of our available credit" shows that you were not prepared after BK for emergencies. It would be irresponsible for people here not to point these things out to you. They aren't trying to be rude just telling you the truth.

[Gonzo]

PLEASE stop and go speak to a mortgage broker. You have far too may critical issues for people on this forum to address and give you solid answers. Do NOT pay anything off until you speak to a broker. Specifically, do NOT pay down the auto loan when you have credit card debt. Paying down an auto loan (installment debt) will not help you in any way to get a mortgage UNLESS it would help you pay it off completely in a few months. Revolving credit (credit cards) is what hangs up the scores of most people.

The broker will pull your credit and do an analysis to see how best to proceed. He/she will give you pointers on what's best to do. Do NOT try to do this on your own. It's a bear out there with mortgages right now. You don't want to do anything that will make matters worse. I have seen many would-be borrowers screw things up on their own. There is a "science" to the credit scoring business. Many do not know that when you 1st pay a delinquent account, your score can go down.

Also be very aware that the scores you get when you pull your own credit might be different from the scores a broker will get when he/she pulls a "mortgage" tri-merge credit report. They may be lower or higher. Many lenders require a middle score of at least 640 for approval. With 2 borrowers, approval would go by the lowest middle score.

How do you find a mortgage broker? Try Google. Type in the search engine: "towson maryland mortgage originator" - Replace "Towson" with your city. Then look for a mortgage professional who has their own blog or website. They tend to be much more dedicated to helping people. If you just call some company on a toll-free number and get whatever rep answers the call, don't count on much help because they may be telemarketers and will be more interested in moving on to the next call that is "easier" than your situation.

I once knew a guy in Maryland named "Brian Sacks" whose specialty was working with people with less than perfect credit. He was a pro. Don't know where he is now. Try a search.

Good luck.