Is there life after a mortgage foreclosure?
On One Hand: There are Options AvailableHome foreclosure does effect credit ratings but as of 2010 it does not permanently blacklist anyone from gaining another mortgage. According to Bankrate.com if the foreclosure is an isolated event then the consumer could receive a new mortgage with fairly favorable loan rates within 24 months.On the Other: There are Often Other Credit IssuesBankrate.com states that with the majority of foreclosures there are other credit issues. Future mortgage opportunities still exist even in these circumstances but the rates will be much higher than standard financing. Many consumers in this situation will have to depend on the sub-prime mortgage sector which offers financing at a much higher rate of interest.Bottom LineMortgage foreclosure does not blacklist anyone from obtaining home financing later on, especially if the foreclosure is the only credit problem.
