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CHARLES: What can I expect 8 years post BK?


boogaloo
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Here's my situation:

BK July 1996 due to divorce. FICO scores were 611, 622, 644 on 11/22/04 - disputed all lates and managed to get 2 removed by TU so scores are slowly improving. Annual salary is $81,500. Employed 16 years - state government. Renting for over 10 years in same apt., never late. No CC debts. Paying $318 monthly for pension loan that will be paid off in two years. Have only 7K in savings, 40K in 401K. Live in New York City. How much can I borrow for a first home and do I qualify for a no downpayment mortgage?

Thanks in advance!

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You can get a 0 down payment loan, and you can get up to 6% of the closing costs paid by the seller. There will probably be some upfront money involved with Home Owners insurance that needs to be prepaid for a year, and depending on what time of the month you close, there maybe a need for some interest paid, but that is about it.

As far as what price of home you can afford, Depending on how much insurance is, and how much taxes are, over 400K would be my guess.

Charles

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