Buying a Home After Bankruptcy

Sometimes no matter how hard you work and how careful you are in the financial aspect of your life you can still have issues and problems comecan you buy a house after filing for bankruptcy up.  The American dream can sometimes seem to be at an impossible distance in certain situations whether it was a divorce, job loss or the market tanked.  Bankruptcy is not fun for anyone but there is some light at the end of the tunnel.  There is a good probability that you will be able to pick up the pieces and recapture what has been lost so quickly.  Buying a house after filing bankruptcy is possible and sometimes can be a viable option much sooner than you think.

The biggest change happened when a new policy was approved from the Federal Housing Administration announced (August 15th 2013) that some could get approved with an FHA backed mortgage as soon as one year after the bankruptcy.  This is of course the best-case scenario but there are other possibilities to get approved for a mortgage in a timely manner.  Other things to keep in mind are the different situations as some may have just a bankruptcy and others could have had short sales or other foreclosures on their plate as well.

When you are interested in getting back to the world of homeownership it is important to understand a minimal timeframe of one year is required from the date of bankruptcy discharge OR if you had a short sale it would be from that closing date, same goes for a foreclosure. Other rules for this particular situation would be that your bankruptcy and the loss of your home has to fall under what FHA calls an “economic event”.  Some of these rules include loosing your income for at least six months, 20% job loss or a major pay reduction.  This may nix you out of this avenue but even without this loophole a traditional turnaround time to purchase a home could be as soon as 2 years.

After going through such a big financial ordeal like bankruptcy two years may be just enough time for you to get back on your feet.  At one point I have heard roomers that it can take up to seven years before you could qualify for a mortgage, but in more recent days it has taken some much less time.  The key things to keep in mind are as follows

  • Try and rebuild your credit or just have no credit (as opposed to bad credit). This would include making your payments on time, set up automatic payments and regulate your credit report.  This would be similar with no credit score except you will have to pay cash for everything and have no credit cards or credit lines of any kind.

  • Save up for a down payment. Believe it or not this really is being required for almost everyone, not just the people with a foreclosure on his or her record.  The idea is at least 20% should be saved for a down payment but when in doubt, the more you save the better chance you have of the lender qualifying you for the house.  Showing the lender that you are serious on doing right by the house note and have a good financial means to back it makes the chances much higher when being reviewed by the underwriter.

  • Eliminate debt and keep it away.  When going about these steps don’t acquire more debt, no additional car loans or other credit lines to your favorite clothing store.  None of this will look good when applying for a home loan.

  • Keep your income stable.  If you are one that jumps around from job to job it really can look negative on your mortgage application.  Ideally you will want to have a good stable income for around two years to show reliable income.

There are other items you may come across such as higher interest rates or even having to look at a less expensive home than you thought you could afford.  It would be wise to find a place that could be easily paid off with a 15-year mortgage this way hopefully you wont run into this situation again.  The moral of the story is that buying a home after bankruptcy is possible and in some instances sooner than you think and each situation is different, do your own research and don’t lose faith!

If you are ready to buy a home check out www.moversatlas.com to research the neighborhoods and communities that you are interested in buying real estate. We provide everything you need to know to make an informed decision on buying your new home!

 

Lebron James $17 Million Miami Mansion For Sale

After Lebron James left the Miami Heat for Cleveland it was inevitable that he would have to part way with his stunning Miami Mansion overlooking Biscayne Bay in Coconut Grove.

luxury houses for sale in miamiThe beautiful waterfront home has an impressive 12,000 square feet and boasts 6 bedrooms and 8.5 bathrooms.

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This amazing luxury property comes loaded with a ton of amenities including a concrete dock with enough space for two 60 foot yachts:

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A home movie theater:

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A 3 car garage:

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And an infinity pool overlooking Biscayne Bay:

bicayne bay mansion for sale with inifinity pool

The house is exactly what you might expect in Miami as far as luxury properties are concerned.  The price tag on this place is right at $17 million which equals $1,396 per square foot!  For the average homeowner putting 20% down on a 30 year fixed mortgage you can expect a monthly payment of $65,000 a month, of course that doesn’t include utilities or taxes for that matter.

According to public records you would pay around $185,000 a year in property taxes but as they say, you get what you pay for.

For most of us this maybe slightly out of our price range BUT if you are looking for another fabulous house in Florida we have plenty to offer.  Check out www.moversatlas.com to start your home search find important information on the neighborhoods and communities that you are interested in living!

5 Fantastic Reasons To Move To Miami FL

If you’ve never been to Miami, Florida, you owe yourself at least one visit.  Miami is a beautiful, vibrant metropolis that bridges the divide between north and South America both culturally and geographically.  Miami is an economic heavy-Shoudl I Move To Miami floridaweight with a bustling port, and thriving finance, commerce, media, entertainment and tourism trades.  Miami is also the only major American city founded by a woman – Julia Tuttle, bought hundreds of acres back in 1875 believing that the area had the potential to become a trading hub between North and South America.  She was right.  Sure, Miami has its issues: a face eating pseudo-zombie, morally questionable politicians, and drivers with a death wish, but it’s still a great place to live.  Here’s why:

1. The Climate – Miami, like much of Florida is subtropical.  Being as far south as it is, the winters are extremely mild.  While New York and Chicago were suffering through the ‘polar vortex’ last year, folks in Miami we’re enjoying 60-70 degree weather.  That means they were walking around in T-shirts and shorts appreciating the scenic coconut palms through their stylish sunglasses.  There’s no snow to shovel in Miami and being able to enjoy the beach in January is par for the course.  Sure, the 90 degree summers and intense humidity can be a drag, but the sheer volume of bikini clad women is compensation enough for the summer heat.

2. The Beach – OK, this one is obvious.  Miami’s beaches are world famous, but they’re famous for a reason.  Crandon Park Beach is known as the party beach.  A visit might include a model sighting or two and topless sunbathing is not only allowed but encouraged.  Need we say more?  If you’re looking for a more family friendly beach, you can head over to Matheson Hammock Park Beach, which is actually a man-made lagoon fed by the gentle tidal movements of Biscayne Bay.  It’s calm and secluded – making it a nice spot to bring the kids.  If you’re more into surfing, you can drop by Haulover Beach.  It seems to get Miami’s biggest swells, but get there early to avoid the aggressive semi-pros who think they’re training for the professional circuit.

3. The Nightlife – Night clubs aren’t for everyone, but if you’re single and in your twenties or thirties, chances are you will like what Miami has to offer; Miami has some of the best night clubs in the world.  There are tons of options, no matter what you’re into, but we’ll discuss a few of the more famous ones here.  Mansion Nightclub is one Miami’s famous party spots.  Often visited by models and hip hop celebs, the sound system is impeccable, the light shows are phenomenal and the guests are beautiful.  The drinks are very expensive and you have to be well dressed to get through the door though.  Mynt Lounge is a futuristic themed club frequented by actors, models and celebrities.  It’s very exclusive and quite pricey.  Finally, Nikki Beach is an open air club under the palm trees at the tip of Ocean Drive.  It’s an upscale restaurant by day and transforms into a dance club and lounge at night.  During the weekend nights, “anything goes”.

4. Fashion – If you’re into fashion, Miami is your spot in the southeast. There are three major fashion hubs in the US: Los Angeles, New York, and Miami…Miami doesn’t have apocalyptic traffic or nasty winters though.  The city is home to worldwide modeling agencies such as Wilhelmina Models, Elite Model Management, and the William Morris Agency, along with renowned local agencies like The Green Agency.  Miami has also been a home to designers such as Bruce Weber and Gianni Versace.  If you’re more into shopping, Miami has a number of high fashion shopping destinations as well.  The Webster Miami is a 20,000 square foot boutique that resides in an old art deco building in Miami’s South Beach area.  It sells a variety of hard-to-find, exclusive brands.  You can also visit the Miami Design District, which houses a number of high end boutiques in close proximity.  Finally, Miami has three major fashion weeks: Mercedes-Benz Fashion Week Swim, Miami Beach International Fashion Week, and Funkshion Fashion Week.

5. Real Estate – While real estate prices may not be a great reason to move to a place on their own, they might give you the final push.  The real estate market in south Florida, especially Miami, has been strong recently and will likely remain so.  So if you’re looking for a tropical paradise with a good return on your property investment, Miami might be the place for you.

We hope this blog has turned you on to some of the great reasons to move to Miami.  If you’re curious about specific neighborhoods in Miami, check out our MoveMap.  It will tell you everything you need to know about a community before you ever set foot there!