I hear that question many times when potential buyers have had a foreclosure, short sale or have filed for bankruptcy in the recent past.
Known as rebound buyers, or bounce-back buyers, this group of active home seekers are making a big difference in the Phoenix area real estate surge. Many of these former homeowners understand the merits and benefits of ownership and want to get back on track as soon as they can.
Maricopa County saw about 287,500 foreclosure and short sales of single- family homes between 2007 and 2015, and 92 percent of those occurred before January 2013. As the waiting period from a foreclosure is generally at least three years before applying for a mortgage backed by Federal Housing Authority, (FHA) and seven years for a conventional loan, (Fannie Mae and Freddie Mac), these past homeowners are coming back into the home buying market in record numbers. Many homeowners who took a hit can now look at options depending on the date of trustee sale, short sale or bankruptcy discharge and may at least pursue an FHA option.
Below is a chart which outlines the wait periods for foreclosures, short sales and bankruptcies.
Wherever you are with your real estate needs, please contact us to review your situation, TalboTeam may have a solution to help once again achieve the dream of home ownership.