We have about 50K in equity in our house that we would like to take a home equity loan out on.We just had a chapter 7 discharged

I think you will find that most lenders have a 4 year waiting period from the date of discharge. I am referring to some of the local banks that do in house HELOC's.You would qualify for an FHA refinance after 2 years has elapsed.

Local bank would be the best bet, BUT if the 50k in equity takes it to 100% with a recent BK I doubt you will find any takers willing to go to 80%..Good Luck

Much more info needed to answer your question.. But in general, the only type of lender willing to lend to you after a fresh BK7 is going to be a Hard Money Lender.. This assumes you have sufficient equity.. Having $50K equity is great if your home is worth $100K.. but if you have a home worth $500K and you have $50K equity, then you wont meet the minimum required Combined Loan to Value (CLTV) that most lending programs require.. Since HELOC's are a non-conforming loan proudct, meaning that there is no standardized or boiler plate lending guidelines for HELOC's.. each lender that offers them, will have their own rules.. and they will be different one lender to the other.. This being said, it's highly unlikely you will find any lender willing to lend you on a 2nd position just out of a BK.. in fact most will require you to wait 4 to 7 years.. FHA will allow you to do a "Cash Out" Refinance after 2 years, and for conventional financing, it's 4 years... This is assuming you meet all other eligibility requirements.. sufficient credit scores, income equity, etc.. Also, Texas has some pretty strict laws regarding cash out refinancing called the A-6 rules.. Under this law, you are not allowed to borrow more than 80% of your homes value.. Again, much more details are needed to answer your question directly, but from the limited info you provided,,, it looks like you're attempting to get financing much sooner than you are allowed to.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com NMLS# 226347