10% Down Jumbo Loans 4 Years After Foreclosure Or Short Sale

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Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,113
182
63
San Diego, California
www.loansreduced.com
We have recently expanded our guidelines on our portfolio jumbo product to allow homeowners the ability to obtain jumbo financing with previous derogatory events. Depending on the seasoning of your economic event will determine the program that you will fit into. Better terms and rates are available the longer the event took place.

Jumbo Loan After Foreclosure Details:
  • Higher Loan to Value with NO MI (90% LTV)
  • Interest Only Option Available (Makes payment extremely affordable)
  • Non-Traditional Credit Allowed
  • 100% gifts for down payment, closing costs and reserves from family members
  • 5/1 ARM and 30YR/Fixed programs available
  • 660 Minimum Credit Score
  • No Derogatory Event in the Last 4 Years
  • Max Loan Amount: 2,500,000.00
  • Primary Residence and Second Home Transactions Only
  • Most Property Types Allowed
  • Max Debt-to-Income is 50% (DTI parameters may be lower depending on credit score)
  • Purchase, Rate & Term or Cash Out Available
Below I have listed my previous articles if you’re under the 4 year seasoning requirement:

How to Get a Home Loan with a Foreclosure Only 1 Year Old (Recently Changed to No Seasoning)

10% Down Immediately After Short Sale

Homeowners Access – New Home Loan Program for Borrowers with Previous Economic Events

Home Included in Bankruptcy and the Bank Didn’t Foreclose Right Away

The above articles are great to read depending on the situation you are currently in and provide solutions for what would most be unattainable.

Programs that are mentioned above are our portfolio products, this means that we fund these loans in house and do not broker them. We do however allow wholesale so there could be a chance when speaking to another company they mention this product. What I have noticed when researching in depth is that some of the companies offering our programs are only able to offer them on a limited basis.

Ultimately as a borrower you need to decide to yourself a few things:
  • Am I losing out because of the tax benefit of owning a home?
  • Is being a renter not what your long term goal is?
  • How long would it take before you can refinance out of a slightly higher interest rate loan?
  • Should I wait before I'm eligible for Conventional Financing?
  • What will the property values potentially be if I wait to buy a home?

Once you know the answers to these questions it will help you decide which direction is best for you and your family.

Apply Online Here: www.LoansByErik.com, 619-379-8999 or [email protected]
 
Last edited:

troubleinriverside

LoanSafe Member
Nov 30, 2008
773
18
18
Hi Erick,

I have been following your posts , so thanks for helping us here. Here is my situation. I had a Bankruptcy discharged in 2010, so that 6 years in May 2016. I have a 30 year with 10 year int only loan and the int only expired 1 year ago. It is with CitiMortgage. I had a 2nd with HSBC that was charged off and not paid. I have heard the HSBC is releasing liens on old defaulted loans , so I requested a Lien Release last week (fingers crossed).

So on my first I owe $400,000. The house should appraise between $600>$650,000 possibly more. I am nearing retirement age so I need to set up a loan for the long term. I was considering a Loan Modification with Citi, but if I can get a Lien Release then I think I should qualify for a refinance. I would be interested in a 40 year fixed or an interest only option possibly. My income is over $130,000 a year and the cash value of my Pension is over $500,000. Please advise what you think and if there is something you can offer.

Thanks
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,113
182
63
San Diego, California
www.loansreduced.com
Hey hey!!
Wow look at how far you've come, on the forum since 2008 and here we are today! Congratulations!

Yes if you do end up getting the lien release you should qualify as that's showing it as satisfied or no longer a balance owing as I'm sure you know. We do have a 40 year w/10 year interest only and after the 10 years it amortizes over 30 years. It's a phenomenal product and I utilize it all the time in jumbo scenarios. This program follows Fannie Mae seasoning periods for economic events. When did your charge off officially occur? There's typically a 4 year waiting period from the point it's charged off and then of course we want to see no balance owed or a lien release.
 

troubleinriverside

LoanSafe Member
Nov 30, 2008
773
18
18
thanks for the quick reply Erick. The second was charged off early in 2010 according to my Credit Reports. My biggest concern is my credit score is a bit low due to a couple of car loans and balances on Credit cards but no lates, around 600, but I would think on paper, with below 80% LTV and I can show that $500 Pension value as an asset, it would trump the low credit score . But I'm not in your business to make that determination.
 

Erik Sandstrom

Mortgage Expert - Call 1-619-379-8999
Staff member
Loan Safe Mortgage
Jan 14, 2011
2,113
182
63
San Diego, California
www.loansreduced.com
Thanks for the info, the program that I was mentioning (40 year with 10yr I/O) is really designed for borrowers with 700+ FICO. If your fico is anywhere between 580-680 FHA is usually the program that will show the best savings on payment. You may have a larger tax benefit going conventional but that would require at least a 640 credit. The better the LTV & Credit is will help obtain a low interest rate & open up alternative program options outside the norm.