Filing bankruptcy delivers a devastating blow to your credit and FICO score, but you probably won't have to wait 10 years before you can qualify for a mortgage. Many consumers who have filed for bankruptcy have been able to obtain a mortgage, although often at a higher rate than someone qualifying for a prime or "A-paper" loan.

Credit card providers are rightfully concerned about what happened before you filed for bankruptcy, many mortgage lenders are interested more in your recovery — what you’ve done since your filing.

 It won’t happen over night, but here are some tips and things to keep in mind when you inquire about a mortgage with a tarnished credit past:

Provide explantions for what happened. No mortgage lender will or can ignore your bankruptcy and they will probably want to know the cause of the filing. Lenders are interested in the likelihood of the same circumstances occurring again the future. Your chances of earning mortgage financing improve if your bankruptcy was caused by a single event like a loss of employment or a death in the family, than if it was the result of “out of control spending.”

If the bankruptcy grew from a single event, it is important to provide paperwork describing the incident, perhaps a layoff notice or death certificate. Almost all lenders will require your complete bankruptcy filing paperwork and discharge paperwork - this will allow clarification of dates your filing and discharge.

Demonstrate current good financial habits. Too many people who file bankruptcy swear off credit and credit cards --big mistake. It is important to re-establish credit as soon as possible, to demonstrate your ability to make and keep commitments to repay debts. Obtaining a secured credit card or take on some sort of loan — furniture, a car or a major appliance — to demonstrate that you are able to make timely payments. It is critical that you make your new credit payment on time and as agreed as well as making other payments (electric, phone, cell phone, etc.) in timely fashion too. The sooner you re-establish new credit accounts, the better. Your credit score will improve over time, but wont' change over night. A bankruptcy's didn't occur in 2 weeks and the effects won't reverse in short order either.

Dispute any credit report errors. There’s no need to add to your damaged credit history with errors on your credit report. Get a copy of your credit report from each of the three major credit reporting agencies: Equifax, http://www.equifax.com; Experian, http://www.experian.com; and TransUnion, http://www.tuc.com. If you discover errors, informing the CRA in writing what information you believe to be inaccurate information and requesting a deletion or correction is wise. 

Build savings. Lenders may be more willing to loan you money if you’ve built a savings account as it will demonstrate discipline. A savings account will also provide you options should unforeseen events occur again and can be used for downpayment when you're ready to purchase a home. 

Build a budget and demonstrate you've learned a lesson.  Not even non-prime lenders will risk loaning you money for an extravagant fortress. Live within your means and set your sights on realistic homes and financial goals. Think prudent when looking for your new home. Smaller homes are more than likely more affordable and frequently develop increased equity more rapidly.