Brad Weil Law > Blog > 2016 > December

Reopen the door to Homeownership

Buying a home after bankruptcy, short sale, or foreclosure

There is hope for people who have experienced financial hardship and want to own a home again. Underwriting guidelines have changed to make it possible!

The waiting period for purchasing a new home will depend on the scenario. Please review the chart below for more details, and call me with any questions.







4 years from discharge

2 years from discharge

3 years from discharge

2 years from discharge


2 years from discharge or 4 years from dismissal

1 year of payout  payment performance and court permission

1 year of payout payment performance and court permission

1 year of payout payment performance and court permission



4 years, 2 years allowed with extenuating circumstances

3 years

3 years

2 years unless there are extenuating circumstances


7 year waiting period

3 years from date of trustee deed

3 years from date of trustee deed

2 years from completion date (recording of  trustee deed)

Common Reasons That People File A Chapter 13 Bankruptcy

Interviewer: What are the most common reasons you’ve seen people file for a Chapter 13?

Brad Weil: Some of the more common reasons to do a Chapter 13 are because you have non-dischargeable tax liability, which is that priority tax.  A tax liability within the 3-year period, you are facing foreclosure on a house and you don’t want to lose the house, you want to clear the arrears through the plan of re-organization and resume your regular monthly mortgage payments.  That’s one of the major reasons that people do a Chapter 13 is to save homes. 

It is Advisable to Maintain an Amicable Relationship with a Court Appointed Trustee

If you’re right, then the judge can rule in your favor.  The trustees are not always right but, you know, you want to keep your trustee happy especially if you appear in front of them often.  In the Los Angeles area, there are two Chapter 13 trustees, one of them is Kathy Dockery, the other one is Nancy Kui and we deal with them all the time, you know.  We are aware of their office procedures and how they want things done. Some counties only have one Chapter 13 trustee, LA is one of the bigger counties, so it’s got two.  But they are basically the overseer of the bankruptcy.  They are the person that the individual debtor will have the most contact with in the process besides their attorney.

A Court Appointed Trustee is a Private Individual Overseen by the United States Trustee, a Branch of the Department of Justice

Interviewer: Who is the appointed trustee? Who is this person and how does this person gets life debt?

Brad Weil: The court appointed trustee is a private individual, can be an attorney doesn’t have to be.  I know several trustees that are not attorneys, they’re accountants actually. They are appointed by the court, they are overseen by the office of the United States trustee, which is a branch of the Department of Justice.  And their job is to oversee the bankruptcy process.  In the Chapter 13, their job is to collect monthly payments and to distribute that monthly payment to the creditors based on the plan of reorganization that the debtor proposes.  They are also responsible for verifying the debtor’s income and expenses, making sure the expenses are what we call necessary and reasonable.  If your expenses are too high, they might challenge that.  They file objections to the plan if there’s something not right about your plan and they will object and you have to fix it before you can get the plan confirmed by the judge.  Or sometimes, you can challenge the trustee.