I know the law changed, but geeez?
Why would a guy tell me that he can’t afford to buy my house right now. In three months, he will have gotten his bankruptcy proceeding approved. Therefore, his debts will be gone, so he will be able to get a loan and buy the house.
Last time I looked, bankrupt persons could not get credit for 7 years, at least. Or, have the new bankruptcy laws made it possible to now go bankrupt and buy a house within 3 or 4 months of each other?
tlbrown…… I have put it on the market. And this guy is furious, He says we had offered the house to him first. He is afraid that someone will take it before he can arrange financing.
I dont care who buys it. I just want it sold. Could use that money to get everything else paid off. I am not willing to sit around for months, to see if he can come up with the money.
If he does get the money before anyone else does, I’ll sell to him.
July 2nd, 2009 at 8:59 pm
Yes its possible- the bankruptcy stays on the record but people are given new mortgages fairly often. But this has nothing to do with any NEW bankruptcy laws.
July 5th, 2009 at 5:29 am
You can declare bankruptcy….and get a loan….for a house? If you believe that I have a bridge I will sell you. Why are you worrying about one (obviously money poor, misguided, lying ) person to buy your house? Put it on the market
July 8th, 2009 at 1:22 pm
Not that I know of…he will have less debt but his credit would be trashed…there are sub prime lenders out there who will loan to people who have filed bankruptcy but the rates are horrible and he would probably be looking at an ARM!
July 8th, 2009 at 6:06 pm
The law has not changed, but some lenders have. If this guy is willing to pay a very high intrest and 20% of the purchase price, then yes he can buy a house. However, most people don’t have $20,000-30,000 to put down.
July 11th, 2009 at 3:34 pm
Actually, there are a lot of lenders vying to loan money to the recently bankrupt, as crazy as that may sound.
The reasoning is simple, really. Once someone has declared bankruptcy, they can’t do so again for at least another seven years. No matter what kind of messes they may get themselves into in the mean time.
Enter a bunch of predatory lenders and you’ve got the makings of a real disaster. But, of course, it probably means your potential buyer COULD get a mortgage. If the latest buzz out of Congress about predatory lending practices hasn’t sent the lot of them scurrying off for awhile, that is.
July 14th, 2009 at 9:22 am
Unless you put something in writing then you have no obligagtion to him. Besides, do you think someone who is in Bankruptcy( a.ka. got in over his head/poor money manager/declared he is broke in court) is really reliable to the point of waiting 3 months for him to come thru with financing? I know it sounds harsh but not being able to fulfull obligations got him in this boat in the first place. Money talks. Sell it to the first qualified buyer who comes along.
At this point he doesn’t even know if he’ll qualify for a loan, and trust me if he tells you he is prequalified during a BK, then he is lying to you.
July 17th, 2009 at 2:09 am
Hello kiwi: yes its possible, UN fortunately threes a lot of people waiting to give these people a second chance, and some deserve it, or what they get,haha, HUD gives loans to these people my x sister 2ND bankruptcy got a loan from HUD, and bought a business , and its shutdown HUD also gives loans to cover those loans ha its a sin,,