Ask a Lawyer and Get Answers to Your Legal Questions
Hello and thank you for the opportunity to assist you. My name is ***** ***** I will do my very best to answer your legal questions.
Q: My question is was my foreclosure excused in some capacity based on the above so that I can buy a new home?
A: No, the foreclosure was not excused. I can't explain why the foreclosure no longer appears on your credit report, but it's not relevant to your question anyway. The point is that you had a foreclosure in the past, it was discovered by the underwriter, and therefore the lender does not have to give you a loan. However, if the lender refuses to give you a loan, it's not due to any legal prohibition. Rather, it would be due to the lender's own policy. Bear in mind that mortgage lenders are private businesses that have the right to determine whether or not to give loans to people with foreclosures in their past. That decision is based upon their own risk tolerances. My suggestion is to apply with a variety of lenders, including credit unions since they are more apt to look past prior credit issues like foreclosures.
Does that answer your question? Please let me know if you need clarification, as I am happy to continue helping you until you are satisfied. Also, please remember to provide a positive rating via the stars (and note that your positive rating is the only way that I'll get credit for helping you, so it is much appreciated!). Thank you. :)
The answer to your follow-up question depends on the paperwork that you signed. Does your contract prohibit you from working with another broker? Does it have penalties? The bot***** *****ne is that the contract itself should answer these questions. What does it say?
Well, the language should be pretty clear if you are bound to use the broker. For example, there should be beginning and ending dates. Look for the words "liquidated damages." Anything like that?
Hi again. Thanks for your patience, as I had logged off for the evening shortly after my last reply.
Q: but what do you mean by recommending I apply to a number of lenders?
A: I mean that various lenders have different internal policies regarding whether or not they will give loans to people who had a prior foreclosure. Accordingly, you have a better chance of successfully getting a loan if you apply to multiple lenders. If I were you, I'd sign the application disclosure package if that's what it takes to find out if you're approved. That doesn't obligate you.
Hello again. I didn't hear back from you, and you haven't yet rated me, so I'm just checking in to make sure that you don't need more help on this issue.