VA Home Loans

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VA Home Loans

VA Loans Done Right is a group of VA Home Loans mortgage professionals with over 20 years of experience in closing and funding VA Home Loans. VA Home Loans remain one of the best Home Loan Programs with some of the Lowest Mortgage Rates in the United States and can help active and retired military achieve the American dream of home ownership with 100% financing, no mortgage insurance, and reasonable credit guidelines.

VA Home Loans are arguably the best first time home buyer loan in the market.


The VA Home Loans Guaranty

The Veterans Administration offers a stable, government-backed mortgage program that has been around for decades.  Despite recent tightening of mortgage qualification standard, VA Home Loans remain a flexible program designed to help Veterans achieve the dream of home ownership. VA Home Loans rates are competitive with “conventional” rates and payments are low due to no mortgage insurance.

One of our experienced VA Home Loans Experts will give you a free, honest, no obligation consultation to help determine if you qualify for any of the available VA Home Loans!


Purchase a home with VA Financing


Refinance your VA Mortgage


What is the VA Certificate of Eligibility

OK, sounds good, but do you qualify?  The first step to determining if you qualify for any of the VA Home Loans is to order your VA Certificate of Eligibility (COE).  We can obtain your COE in minutes through our VA Portal.  You must have a DD214 or be active military in order to request your COE.  Visit our Certificate of Eligibility page for more information.

Once you have determined your eligibility, the next step is to get pre-approved.  If you are buying a home, the seller will want to see a pre-approval letter submitted with your offer.  Our VA Home Loans Experts can help you get pre-approved today!

 

VA Construction Loans Are Back! – July 1st, 2015

We now offer VA Construction Loans for new modular homes, and one unit stick built single family homes. Our VA Construction Loan is a One Time Close program which provides construction financing, lot purchase and the final VA Mortgage, all wrapped up in one loan. What’s great about our VA Construction Loan is you don’t have to worry about re-qualifying, re-appraisals or incurring additional costs once you’ve been approved!

We will provide the interim financing and administration for a true VA Construction loan on a one-time close staged funded construction-to-permanent loans. Our VA Construction Loans are great for modular housing, and stick built housing, this programs allows us the ability to offer our Veteran clients this unique loan option.

We will underwrite and approve the permanent VA Mortgage portion of the loan before the construction begins. The construction portion of the loan is also underwritten and approved. When all conditions for closing are cleared other than the final construction related conditions, the closing will be coordinated. Once closed, construction can begin on your dream home.

Because the permanent VA Mortgage is closed before construction begins our VA Construction Loan doesn’t require “re-qualifying” the Veteran. This is a true one-time close; therefore, you will not need to return to the settlement agent for a second closing once construction is complete.

Key Benefits Of Our VA Construction Loan:
  • Reduction in total cost due to only one closing
  • Reduces interest rate risk
  • VA 100% LTV financing allowed (not including the VA Funding Fee)
  • Only one closing prior to the start of construction
  • No payments due from you during construction
  • Your first payment begins once construction is complete
  • No credit, document or appraisal expiration once the VA Construction Loan closes
  • No re-qualification of borrower once construction is complete
  • Builder/Retailer is allowed staged funding draws during construction based on line-item percentage completion

 

Until now if you wanted to use your VA entitlement to buy a brand new home you had to work with a builder that would carry the construction financing part of the process or you had to qualify for a traditional construction loan. Traditional construction loans are hard to find, usually require at least 20% down and 680+ credit scores. This is why our VA Construction Loans are so great, you only need a 620 or better score and you can even use it to buy the lot! 

 

If you have questions or you want to see how much you qualify for, feel free to call me at (877)228-9069 or fill out the form below.

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Here’s what you need to know if you’re trying to qualify for a VA mortgage and you’re within 12 months of  your ETS.

 

If the date is within 12 months of the anticipated date that the VA Mortgage will close,
the loan package must also include one of the following four items, or
combinations of items, to be acceptable:
1) documentation that the service-member has already re-enlisted or extended
his/her period of active duty to a date beyond the 12-month period
following the projected closing of the VA mortgage or
2) verification of a valid offer of local civilian employment following the
release from active duty. All data pertinent to sound underwriting
procedures (date employment will begin, earnings, and so on) must be
included, or
3)  a statement from the service-member that he/she intends to reenlist or extend
his/her period of active duty to a date beyond the 12 month period, plus
4)  a statement from the service-member’s commanding officer confirming that:
– the service-member is eligible to reenlist or extend his/her active duty as
indicated, and
– the commanding officer has no reason to believe that such reenlistment
or extension of active duty will not be granted, or
· documentation of other unusually strong positive underwriting factors, such
as:
– a downpayment of at least 10 percent,
– significant cash reserves, and
– clear evidence of strong ties to the community coupled with a
nonmilitary spouse’s income so high that only minimal income from the
active duty servicemember is needed to qualify.
Analysis: Base Pay
Consider the applicant’s base pay as stable and reliable except if the applicant
is within 12 months of release from active duty.
· Analyze the additional documentation submitted.
· If the applicant will not be reenlisting, determine whether:
– the applicant’s anticipated source of income is stable and reliable, and/or
– unusually strong underwriting factors compensate for any unknowns
regarding future sources of incom

Get A VA Mortgage With A 600 Credit Score!

While most lenders require at least a 620 or better middle credit score we will do a VA Mortgage with a 600 Credit Score!

It’s important to note that VA does not have a minimum credit score requirement so any time you hear a lender say they will do a VA Mortgage with a 600 Credit Score it’s what the lender requires or allows. The same thing applies to lenders that require a 620 score or higher. This is what we call a lender or investor overlay.

There are a few lenders that say they will do VA Mortgages as low as 530 or better but you need to be really careful and here’s why. 

While VA doesn’t have minimum credit score requirement they do have credit history requirements.

For example: Here are the VA Guidelines:
http://www.benefits.va.gov/warms/pam26_7.asp

VA Pamphlet 26-7, Revised
Chapter 4: Credit Underwriting

In circumstances not involving bankruptcy, satisfactory credit is generally considered to be reestablished after the veteran, or veteran and spouse, have made satisfactory payments for 12 months after the date the last derogatory credit item was satisfied. For example, assume a credit report reveals several unpaid collections, including some which have been outstanding for many years. Once the borrower has satisfied the obligations, and then makes timely payments on subsequent obligations for at least 12 months, satisfactory credit is reestablished.

So this  is telling you that the VA wants to see 12 months of “clean” credit meaning no late payments, collections or charge offs in the most recent 12 months. They will allow 1 or 2 30 day late payments but that’s not really the point. So what is the point you ask? Your credit score is a direct reflection of your most recent credit history in most cases so if you have a 580 or lower credit score that generally means you have multiple late payments, collections or charge offs and that would make you ineligible under the VA guidelines.

What does this mean for you getting a VA Mortgage with a 600 Credit Score? It’s still possible as long as your most recent credit history is fairly “clean”.

You will probably also hear that anyone doing a VA Mortgage with a 600 Credit Score is going to have higher fees and interest rates and that’s just not true. You’ll get the same rate as someone with a 620 score.

So now you know that it is possible to get a VA Mortgage with a 600 Credit Score!

If you have questions or you want to see how much you qualify for, feel free to call me at (877)228-9069 or fill out the form below.

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Can You Get A VA Mortgage With An Open CAIVRS Report?

 

Yes you can, depending on your scenario. 

 

If you have applied for a VA Mortgage and had your loan denied because of the  CAIVRS Report you probably wondered why and what it is.

 

 CAIVRstands for Credit Alert Interactive Voice Response System. The U.S. Department of Housing and Urban Development maintains this system, which includes federal tax liens and information from  governmental agencies like VA, FHA, USDA & SBA to name a few. 

For example, veterans who have yet to settle over-payments on education or disability income may trigger a hit in the CAIVRS system.  Perhaps the most common CAIVRS Report issue is tied to defaulted student loans so staying current on federal student loans is critical.

Here is a scenario I’ve been running into lately.

 

 I’ve had several people contact me after getting turned down by other lenders that had filed chapter 7 bankruptcy and included an FHA backed mortgage in the bankruptcy.  

 

The bankruptcy isn’t an issue once it has been discharged for 2 years  under the VA guidelines for a new VA Mortgage. The problem is when  FHA pays a claim, you end up with a CAIVRS Report. Pretty much every VA Mortgage lender out there will tell you there is no way you can  get approved for a VA Mortgage until you clear up your CAIVRS Report but the only way to do that is to pay off the claim or wait it out!

 

 

The good news is I can get your VA Mortgage approved & closed even though you have an open CAIVRS Report as long as the CAIVRS Report was the result of an FHA or VA Mortgage being included in a bankruptcy or through foreclosure and it’s been at least 2 years since the discharge or the foreclosure sale! 

 

If you have questions or you want to see how much you qualify for, feel free to call me at (877)228-9069 or fill out the form below.

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Applying for a VA Mortgage After A Short Sale:

July 17, 2014

If you’re searching for answers to when you might be eligible for a VA Mortgage after a Short Sale you’ve likely seen or heard things like , VA requires a 2 year wait or you maybe eligible for a VA Mortgage in less than 1 year if you were not late on the mortgage payments leading up to the Short Sale. The truth of the matter is this, VA DOES NOT have specific, written, guidelines regarding Short Sales so lenders apply FHA and Fannie Mae Short Sale guidelines to their VA Mortgage requirements.

I have been able to approve and fund VA Mortgage after a Short Sale for Veterans less than 1 year from their short sale when there were no late payments on the mortgage leading up to the short sale and just over 1 year when there were late payments on the mortgage. We have to review the VA Mortgage underwriting guidelines to see why there is a difference.

Here are the actual VA Mortgage underwriting guidelines:

http://benefits.va.gov/warms/pam26_7.asp

Chapter 4 pages 43- 45

Adverse Data

Reestablished Credit:  In circumstances not involving bankruptcy, satisfactory credit is generally considered to be reestablished after the veteran, or veteran and spouse, have made satisfactory payments for 12 months after the date the last derogatory credit item was satisfied.  For example, assume a credit report reveals several unpaid collections, including some which have been outstanding for many years.  Once the borrower has satisfied the obligations, and then makes timely payments on subsequent obligations for at least 12 months, satisfactory credit is reestablished.

So it makes sense that if a Veteran was late on their mortgage payments leading up to the Short Sale, they would have to wait 12 months to be eligible for a VA Mortgage after a Short Sale to show they’ve re-established their credit.

Here is additional guidance from VA and I’m told VA will update their guidelines to reflect this information soon.

“If a veteran’s overall credit record is good, we do not think the fact that he/she did a Short Sale, should be a bar to obtaining new credit.  Nor do we think a mandatory waiting period is necessary, similar to the waiting period after a foreclosure or bankruptcy. 

We think a Short Sale just reflects the historical collapse of the real estate market.  If the borrower’s overall credit is satisfactory, a lender can still determine the Veteran is a satisfactory credit risk.  Hopefully, the payments on the mortgage were paid timely, but even if there were some delinquent payments, they should just be viewed from the perspective of all the borrower’s credit. VA’s position on Short Sales is as long as there is no remaining deficiency balance owed (that can become a judgment lien), and the veteran has resolved his credit issues, they are eligible for a new VA Mortgage after a Short Sale.”

 You have to find the right lender to help you when Applying for a VA Mortgage after a Short Sale. I have the investors that actually follow VA’s guidelines so I can get your VA Mortgage closed even if you’ve had a Short Sale. 

If you have questions or you want to see how much you qualify for, feel free to call me at (877)228-9069 or fill out the form below.

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