Back To Work Program Guidelines

The Back To Work—Extenuating Circumstances mortgage loan program helps people who previously lost their home to foreclosure, short sale, or deed in lieu. The FHA program gets these consumers back into homeownership much quicker, assuming they have met certain guidelines.

Back To Work Program Guidelines:

  • FHA loan requirements — your lender is required to determine if you meet FHA loan requirements before you apply.
  • Documentation — you must be able to document that your financial hardship was due to circumstances beyond your control. Generally, your household income will have to have dropped by 20% or more for at least 6 months.
  • Credit reestablished — you must have 12 months of on-time rent payments without being late, and no more than one late payment on non-housing bills.
  • Counseling requirement — we can give you the HUD-approved housing counseling you need prior to participating in the Back to Work program.

Priority Pre-purchase Counseling:

The counseling must be completed 30 days prior to your loan application. This certificate is valid for 6 months.

Generally, those who lose their homes to foreclosure will not be able to purchase a home again for 3 years. But those who meet the Back To Work Program Guidelines may get back into home ownership after only 12 months.

The “documentation” requirement is particularly important. Applicants will have to prove they had reduced income for 6 months leading up to their financial hardship. A HUD-approved housing counselor can help you gather all of the necessary paperwork to prove that you qualify.

If you have questions about any of the four guidelines listed above, call us today at (888) 845-9057 and we’ll answer any questions you have.