The Greek philosopher Heraclitus taught that the only constant is change. His philosophy certainly seems evident as we experience the daily ebb and flow of life. With each new phase, we are presented with opportunities and challenges that can influence our lives in a variety ways.

The impact on our finances is no exception.

Unfortunately, there are times when life circumstances can negatively affect our fiscal health and even decrease our credit scores. When this happens, it’s easy to feel deflated and wary about our financial prospects. We may even think the goals we used to have for ourselves are no longer attainable, such as home-ownership.

Luckily, that’s just not the case.

Despite past credit challenges, it can still be possible to obtain home-financing at a reasonable rate. Here are a few credit misconceptions we can debunk:

Credit Misconceptions

  1. “I had to foreclose on my home, so I won’t qualify for financing.” – The truth is you may be able to qualify for a new mortgage in as little as three years after a foreclosure, depending on the loan type. Additionally, if you are able to qualify for a VA loan, you may be eligible for financing in as little as two years after a foreclosure.


  1. “I filed for bankruptcy, so I can’t get a home loan.” – Obtaining a mortgage after filing for bankruptcy depends on what type of bankruptcy you filed (chapter 7 vs. chapter 13), and what type of loan you want. In some cases, you may be eligible for financing as early as two years after your discharge date.


  1. “My credit score is too low to qualify for home financing.” – Whether you are looking to purchase a home, or you are interested in refinancing, there are companies who can work with your weakened credit history to help you find a loan product that will work for your unique circumstances.

Remember, every person’s situation is different and the best thing you can do when wondering about your home-financing options, is to find a professional you trust to help walk you through your options. The good news is, nobody’s credit is perfect so don’t let fear or anxiety about the unknown stop you from achieving your home-buying dreams.

Castle & Cooke Mortgage, LLC® (NMLS #1251) is a leading independent mortgage lender headquartered in Draper, Utah, with locations across the United States.

Restrictions may apply. Not all who apply will qualify. Program qualifications & offerings are subject to change at any time. Equal Housing Lender. Castle & Cooke Mortgage, LLC is licensed in AL, AR, AZ, CA, CO, CT, FL, GA, HI, ID, IL, IN, IA, KY, MD, MI, MS, MO, NE, NV, NM, NC, ND, OH, OK, OR, TN, TX, UT, WA, WI and WY. Castle & Cooke Mortgage, LLC is licensed by the Arizona Department of Financial Institutions Arizona Mortgage Banker: BK-0908287. Castle & Cooke Mortgage, LLC is licensed by the Department of Business Oversight, under the California Residential Mortgage Lending Act License #4130740. In Colorado, Castle & Cooke Mortgage, LLC is regulated by the Division of Real Estate. Georgia Residential Mortgage Licensee, License #43759. Illinois Residential Mortgage Licensee. Oregon Mortgage Lending License #ML-4090. Licensed by the Mississippi Department of Banker and Consumer Finance.

Information contained in this Blog does not constitute legal, financial, or other professional advice or services and should not be used as a substitute for professional advice. The purpose of the Blog is to provide Castle & Cooke Mortgage, LLC’s opinions and general guidance on certain matters related to mortgages. The reader accepts full responsibility for use of the information contained herein.