The Federal National Mortgage Association is reminding its lenders that it can buy loans to consumers who have a previous bankruptcy or foreclosure.
Just because a prospective borrower has experienced a significant derogatory credit event doesn’t mean that they can never qualify for a Fannie Mae loan.
Such derogatory credit events can include foreclosures, short sales and deeds in lieu of foreclosure. They also include the filing of a bankruptcy.
Source: Mortgage Daily