A new study indicates that more than 1.5 million home buyers who were negatively impacted by the housing/financial crisis may be entering the mortgage market during the next 3 years.
Approximately 700,000 “boomerang buyers” may be re-entering the housing market this year alone.
Who are “boomerang buyers”?
- Homeowners who were more than 60 days late on a mortgage loan; lost a Mortgage through foreclosure, short sale or other non-satisfactory closure; or had a mortgage modification
This study looked at the credit-active population at the end of 2006 (the end of the mortgage bubble), the end of 2009 (the end of the burst) and in 2014 to determine consumers’ ability to re-enter the mortgage market.
As buyers establish good credit and manage their credit, it is anticipated that a tidal wave of newly mortgage–eligible consumers will be entering the market.
My client’s have reported to me that after 2.5 years following their bankruptcy, the banks are considering them for mortgages.
You can see that a Fresh Start Helps with Bankruptcy to bring you back into the buying market.