VA Loan Store » Buying A Home

VA Loan Limits For 2010

themightyquin — Tue, 06 Apr 2010 17:24:21 +0000

Many inexperienced loan officers will tell you that the maximum VA Loan limit is $417,000 across the country. This is simply not the case. The VA works like any other government entity and makes concessions based on the reported cost of living and housing expenses for any given area.

The attached document is the complete 2010 VA Loan limit guidelines. To find your VA loan limit search by STATE first and then COUNTY. If your county is listed the maximum VA loan limit will be posted.

IF your county is NOT listed then your maximum VA Loan limit for 2010 is $417K

2010 va loan limits

The Ultimate Guide To Understanding Your Good Faith Estimate

themightyquin — Mon, 07 Dec 2009 04:11:48 +0000

This video was made and designed to work with the article “Rate Shopping for a VA loan.”

If your serious about getting a great loan then you need to understand two things: first, how to shop for a loan. Second, how to read a good faith estimate. And lucky for you, everything you need to be successful is posted in this article.

Now that we have that out of the way…. Go ahead and push play for this video and hit the crossed arrows to enlarge to full screen. Doing so will allow you to see all the details of this form.

Once you have completed this video, your next step is reading this article that I wrote entitled “Rate shopping for a VA loan.”

Lastly, stop slacking and hurry up and apply for a VA Loan. Act now and fill out the orange form marked “Get Pre-Qualified Here.”

That’s it…… your bulletproof.

VA County Loan Limits

themightyquin — Fri, 30 Oct 2009 18:34:49 +0000

VA Loan Limits Nationwide

If your wondering what the VA loan limits are for your county we took the liberty of posting the complete list here.

P.S. Some conservative banks will not honor these posted VA loan limits. They prefer to lend using their own guidelines which every bank is free to do. Take these figures with a grain of salt and double check with your bank before proceeding.

VA Loan Limits

Don’t buy a manufactured home until you read this!

themightyquin — Fri, 30 Oct 2009 18:00:13 +0000

VA Loan Manufactured Home Financing

Are you thinking about purchasing a manufactured home using your VA loan benefits? If so, read this entire article before you do ANYTHING!

Trust me when I tell you I understand the benefits of buying a new manufactured home. In most cases they are made better, are more energy efficient, and definitely offer more bang for your buck…Unfortunately, that’s where the excitement ends.

In today’s market place, banks have become more and more un-easy about funding manufactured homes. This prejudice is really unfounded considering all the benefits I just mentioned.

Your problem is NOT the VA….

For the most part the VA treats a manufactured home financing just like any other property. So the issue is NOT convincing the VA your manufactured home is a good deal. Frankly the VA could really care less.

The problem IS the BANKS!

Your problem IS without a doubt… the banks! It’s clear that most banks have thrown common sense to the waste side; and based on today’s guidelines, made it nearly impossible to obtain manufactured home financing using your VA Loan benefits. I’m not joking… your chances of winning the lottery are much better..

My recommendations

I suggest you avoid purchasing manufactured housing until the banks get their heads on straight.
If you MUST buy, your best bet is to deal with the “in-house” finance company representing the manufactured home builder or try a local bank. And just for the record, I NEVER recommend dealing with “in-house” anything. Based on my 10 years in this business, and countless stories from other clients, “in-house” lenders rarely act in your best interest. Proceed with caution.
Seek FHA financing (which we can do here). Why? Because more banks are willing to secure loans working under the FHA loan program as opposed to VA.
Be prepared to put some money down. If you can’t go VA, that means you’ll be coming out of pocket using FHA or conventional financing.
Always have an escape clause on your purchase and sale agreement. In the event you are unable to secure a loan, this will be a huge asset if you need to get out of the contact to purchase.

Please share your success stories…

If somebody out there buys a manufactured home successfully….PLEASE SHARE. I would like to post the information here for other veterans to use. After all we are all here to help one another!

Our VA Loan Guarantee

themightyquin — Wed, 23 Sep 2009 16:53:04 +0000

Your satisfaction is of the utmost importance to us at the VA Loan Store so we offer this unprecedented money back guarantee.

We stand behind our service, rates, and pricing so you can sleep well knowing you have made the most intelligent mortgage decision.

We Will:
• Take full responsibility for our actions and be honest at all times

• Ask questions and listen to you in order to fully understand your needs

• Create mortgage solutions that complement your overall financial strategy, and allow you to most effectively accomplish your short and long term financial goals

• Determine a fair rate for your given loan program and credit situation AND give you the option to lock in that interest rate or “float” it. If you choose to lock your interest rate, we will GUARANTEE that rate at closing unless your credit situation changes during the application. This includes, but is not limited to, undisclosed poor credit, change of program, denial by the lender through which we locked the loan, or delay in your loan closing due to factors beyond our control. If you elect to float your loan, the choice of when to lock the interest rate is yours. As part of our loan process, you will receive regular market updates designed to assist in choosing the perfect time to lock your interest rate.

• Prepare a Good Faith Estimate and GUARANTEE that your actual costs- excluding title company/closing attorney costs- will be within 5% of our proposal or WE will pay the difference. This applies to actual costs only and does not include escrows and prepaid items. The industry standard is between 10% and 25% variance, so you can see that we truly do stand behind what we quote you.

• Respect your time and minimize the amount of effort required of you by applying our knowledge, experience, and resourcefulness

• Explain the entire mortgage process so you can anticipate what to expect all the way through closing.

• Provide weekly loan status updates and proactively communicate to reduce the stress associated with uncertainty. We will provide the opportunity to have all your questions answered with your personal mortgage planner.

• Ensure smooth, on-time closings with anticipated costs and terms so you feel comfortable and relaxed.

• Perform annual mortgage reviews to make certain your financial objectives are realized.

No one else in the industry stands behind their products like this and we are proud to add you to the growing list of happy, satisfied customers.

We ask only one thing of you. Referrals are the lifeline of our business and, therefore we request that you refer at least 2 people to us during your time in process with us. They will receive the same exceptional service and, of course, the same guarantee!

From everyone on our team, we thank you for your patronage and look forward to serving you.

Quin Linich

Veteran and Founder

No related posts.

VA Mortgage Eligibility Rules

themightyquin — Wed, 23 Sep 2009 14:47:48 +0000

General Rules for Eligibility

Military Service Requirements for VA Loan Eligibility:

Note: Applications involving other than honorable discharges will usually require further development by VA. This is necessary to determine if the service was under other than dishonorable conditions.

Wartime – Service During:

WWII: 9/16/1940 to 7/25/1947

Korean: 6/27/1950 to 1/31/1955

Vietnam: 8/5/1964 to 5/7/1975

You must have at least 90 days on active duty and been discharged under other than dishonorable conditions. If you served less than 90 days, you may be eligible if discharged for a service connected disability.

Peacetime – Service during periods:

7/26/1947 to 6/26/1950

2/1/1955 to 8/4/1964

5/8/1975 to 9/7/1980(Enlisted)

5/8/1975 to 10/16/1981 (Officer)

You must have served at least 181 days of continuous active duty and been discharged under other than dishonorable conditions. If you served less than 181 days, you may be eligible if discharged for a service connected disability.

Service after 9/7/1980 (enlisted) or 10/16/1981 (officer)

If you were separated from service which began after these dates, you must have:

Completed 24 months of continuous active duty or the full period (at least 181 days) for which you were ordered or called to active duty and been discharged under conditions other than dishonorable, or Completed at least 181 days of active duty and been discharged under the specific authority of 10 USC 1173 (Hardship), or 10 USC 1171 (Early Out), or have been determined to have a compensable service-connected disability; Been discharged with less than 181 days of service for a service-connected disability. Individuals may also be eligible if they were released from active duty due to an involuntary reduction in force, certain medical conditions, or, in some instances for the convenience of the Government.

Gulf War – Service during period 8/2/1990 to date yet to be determined

If you served on active duty during the Gulf War, you must have:

Completed 24 months of continuous active duty or the full period (at least 90 days) for which you were called or ordered to active duty, and been discharged under conditions other than dishonorable, or

Completed at least 90 days of active duty and been discharged under the specific authority of 10 USC 1173 (Hardship), or 10 USC 1173 (Early Out), or have been determined to have a compensable service-connected disability, or

Been discharged with less than 90 days of service for a service-connected disability. Individuals may also be eligible if they were released from active duty due to an involuntary reduction in force, certain medical conditions, or, in some instances, for the convenience of the Government.

Active Duty Service Personnel

If you are now on regular duty (not active duty for training), you are eligible after having served 181 days (90 days during the Gulf War) unless discharged or separated from a previous qualifying period of active duty service.

Selected Reserves or National Guard

If you are not otherwise eligible and you have completed a total of 6 years in the Selected Reserves or National Guard (member of an active unit, attended required weekend drills and 2-week active duty for training) and

Were discharged with an honorable discharge, or

Were placed on the retired list, or

Were transferred to the Standby Reserve or an element of the Ready Reserve other than the Selected Reserve after service characterized as honorable service, or

Continue to serve in the Selected Reserves

Individuals who completed less than 6 years may be eligible if discharged for a service-connected disability.

You May also be determined eligible if you:

Are an unremarried spouse of a veteran who died while in service or from a service connected disability, or

Are a spouse of a serviceperson missing in action or a prisoner of war

Note: Also, a surviving spouse who remarries on or after attaining age 57, and on or after December 16, 2003, may be eligible for the home loan benefit. However, a surviving spouse who remarried before December 16, 2003, and on or after attaining age 57, must apply no later than December 15, 2004, to establish home loan eligibility. VA must deny applications from surviving spouses who remarried before December 6, 2003 that are received after December 15, 2004.

Eligibility may also be established for:

Certain United States citizens who served in the armed forces of a government allied with the United States in WW II.

Individuals with service as members in certain organizations, such as Public Health Service officers, cadets at the United States Military, Air Force, or Coast Guard Academy, midshipmen at the United States Naval Academy, officers of National Oceanic & Atmospheric Administration, merchant seaman with WW II service, and others.

Loan Officer or Realtor: Who Do You Get First?

Vikki P. — Wed, 19 Aug 2009 22:19:30 +0000

This sounds like a chicken or egg question but should you get a loan officer or a real estate agent first? Let’s break it down to help you decide:

Realtor first! Believe it or not, real estate agents would want you to start with them. A realtor would help you get to the right track and would want to influence you when it comes to choosing affiliates or other team players that involved in the house-buying process. By saying team players, that includes loan officers. This typically happens when the realtor finds out that you don’t have a lender yet.

Loan officer first! Get a loan officer first if you haven’t been preapproved for a VA loan. Why? Well, for one, it’s better to know your budget first before you go shopping. Don’t fret if your loan officer asks if you already have a realtor. Having a realtor before your VA loan application process begins is not a requirement. The loan officer asks you this question to help you. If the loan officer finds out that you don’t have a realtor yet, he’ll most likely give you a list of realtors he has done business with and even provide you a qualification letter that you can show to the realtors.

So what is the best thing to do? To be honest, it doesn’t matter because the two will lead you to the other anyway. Some people might disagree. But the point is, you’ll end up finding a lender and a realtor since at the end of the day, you will need them both. What is important is that you understand that aside from these two, there are other people involved in this process. Here’s a quick list of other team players according to David Reed, a veteran of the mortgage industry:

Loan Processor – The one who verifies, compiles, and reviews your loan application. The loan processor also calls the credit bureau and employer to verify your information.
Appraiser – The person who estimates the worth or value of a property and creates the document called Notice of Value.
Inspector – The expert who performs structural and pest inspections – plumbing, electrical work, roof, structural stability, etc.
Insurance Agent – The person who is authorized to sell and transact insurance.
Title Agent – The guy who makes sure that it’s you and only you can claim property to the home you are buying.
Attorney – Not all states require that you have an attorney when purchasing a home but some do!
Surveyor – The surveyor measures the house’s dimensions – including permanent structures, boundary lines and easements.
Underwriter – This team player analyzes the risks involved in your VA loan application and then establishes terms and conditions depending on the risks.
Escrow Agent or Closer – The closer makes sure that all your papers are signed and the sale took place.
Funder – The guy who generate wires for loans to fund.

But the most important person in this process is YOU! Never let any members of the team push you around into deciding into something that you do not want or understand.

Good Faith Estimate 101 for Veterans

themightyquin — Wed, 19 Aug 2009 21:36:56 +0000

One of the most important things that every veteran should know is how to evaluate a Good Faith Estimate or GFE. A good faith estimate is not just a verbal quote of how much you are going to pay but it is actually a document required by the Real Estate Settlement Procedures Act (RESPA).

If you are applying for a loan, the lender or broker should provide you a written estimate within 72 hours after applying for a VA loan.

Don’t get confused if you get multiple GFEs showing different bottom line totals. In most cases, you will receive a preliminary GFE and later, a “Final” GFE after the lender as approved the loan.

Be aware that every bank or mortgage broker will estimate costs differently but it is critical you understand what fees are stated, and whether you are being charged correctly.

Also, remember that a GFE is just an estimate – this is your loan officer’s best guess on how much it’s going to cost you to close your loan.

To make things easier, let’s breakdown the GFE into two categories: lender or broker-associated costs and other costs.

Lender or Broker-Associated Costs – The costs under this category should be more or less accurate. This is basically how much the lender or broker asks you to pay to process your VA loan application. These costs should include but are not limited to: loan origination fees, loan discounts, appraisal fees, credit reports, lender inspection fees, any tax-related service fees, processing fees, underwriting fees, and wire transfer fees. See VA allowable charges for a complete listing of acceptable loan fees.

Other costs – Aside from the lender and mortgage broker, there are also other entities involved in your VA loan application procedure. These bodies require a certain amount to be paid in order to complete your application. Some examples of these costs are insurance premiums, VA Funding Fee, title charges, escrow fees, transfer charges, and any additional settlement charges.

How exactly do you make use of this information?

We recommend you focus your efforts on interest rate AND lender charges because these are the only variables the bank actually controls. All other charges such as taxes, home owners insurance, settlement fees, and escrows will vary dramatically depending on the institution that prepares the GFE.

In some cases, your bank or VA mortgage broker won’t even take the time to quote these third party fees. So, if you get a GFE with very low costs take a second look at what’s actually being charged. You may be surprised to learn your VA lender has omitted 50% of the required information.

Surprisingly, the highest costing GFE can often be the best deal! If your VA lender did a great job, your GFE should be complete. But be aware, this may also translate to a higher bottom line when you compare to other “incomplete GFE’s. A completed GFE will include: all escrows, taxes, home owners insurance. This is also a good indicator that your working with a VA lender that has your best interest at hand and does quality work. Don’t deal with VA lenders that can’t provide accurate documents. That’s the best advice I can give.

In addition to your GFE, and before you make your final decision, ask your VA lender for a performance guarantee and make sure they put it in writing. What is a performance guarantee you ask? This is a document that your VA lender provides guaranteeing your costs on the loan. It will also guarantee your interest rate should you choose to lock the VA loan.

By obtaining a “completed” GFE and performance guarantee you can rest assured your homework is done and your ready to select a VA lender.

To Pay or Not to Pay? The VA Loan Funding Fee

Vikki P. — Mon, 27 Jul 2009 20:19:27 +0000

For guaranteed loans, the law requires the borrower to pay the VA Loan Funding Fee. A veteran will be asked to pay this upfront during the final stage of the loan application process. Though VA home loans provide veterans a no-money-down benefit, a veteran is asked to pay the VA Funding Fee as a contribution toward the cost of this unique benefit. As a result, the VA Funding Fee reduces the cost to taxpayers.

For first time veteran borrowers, the fee is currently at 2.15% while second-time users who don’t want to make a down payment are asked to pay 3.3%. Why are second-timers asked to pay more? It’s pretty simple, these veterans have already taken advantage of the benefit in the past plus they have also had the time to save money to pay for a down payment.

Another important aspect of the VA Funding Fee that every veteran must know is that it can vary depending on the type of service rendered and whether the loan is a purchase, a streamline refinance or IRRL, or simply a cash-out transaction. The following charts show the details of the VA Funding Fee.

Type of Veteran	Down Payment	First Time Use	Subsequent Use for loans 1/1/04 to 9/30/11
Regular Military	None 5% – 10% 10% or more	2.15% 1.50% 1.25%	3.3%* 1.50% 1.25%
Reserve/National Guard	None 5% – 10% 10% or more	2.4% 1.75% 1.5%	3.3%* 1.75% 1.50%

Cash-Out Refinancing Loans

Type of Veteran	Percentage for First Time Use	Percentage for Subsequent Use
Regular Military	2.15%	3.3%*
Reserve/National Guard	2.4%	3.3%*

* The higher subsequent use fee does not apply to these types of loans if the veteran’s only prior use of entitlement was for a manufactured home loan.

Type of Loan	Percentage for Either Type of Veteran Whether First Time or Subsequent Use
Interest Rate Reduction Refinancing Loans (IRRRL)	0.50%
Manufactured Home Loans	1.00%
Loan Assumptions	0.50%

Although almost all veteran home buyers pay the VA Loan Funding Fee, there are some exceptions to this:

Veterans with service-related disabilities who are receiving VA compensation
Veterans with service-related disabilities who did not receive retirement pay but are entitled to receive compensation
Surviving spouses of veterans who died while rendering service or from any service-related disabilities

VA Loan Appraisals – Everything you need to know and more

Toni — Mon, 08 Jun 2009 22:42:32 +0000

A VA appraisal is a critical step in funding a VA loan. Let’s examine the appraisal process and highlight the key points every veteran should understand.

Don’t try to order your own VA appraisal!

The VA lender is responsible for ordering the appraisal. This process normally takes place just after the borrower has submitted their entire loan package.

The Department of Veteran’s Affairs will assign a VA loan appraiser. In order to prevent appraisal fraud, the homebuyer will not be able to choose which appraiser performs the work.

The approximate cost of a VA loan appraisal is around $400.00. This fee is state-regulated so it depends on the location of the home sale. The VA loan appraisal fee, in most cases, must be paid before the VA loan is closed.

When dealing with appraisals, the financing can be delayed if the property is not up to par. VA appraisal guidelines can be found on the Veterans Affairs website. These rules discuss the particular instances that could cause a home to appraise for less than the sale price. In order for a VA loan to fund, The appraisal must meet or exceed the purchase price.

If your home does not appraise this could be why

The home is not in livable condition
The home is in poor condition-if there are repairs needed they must be completed before the VA loan is closed.
There are safety issues with the home; lacking a home foundation, no railings on a stairway; etc.

After a VA loan appraisal is conducted you will receive a CRV (Certificate of Reasonable Value) which will be based on the VA loan appraiser’s estimate of the property’s value.

If your appraised value is low, take these actions.

Negotiate the sale price of the house with the seller in order bring the price down to meet the VA loan appraisal amount.
Make a down payment to cover the difference. (I only recommend doing so if you have a home you can’t pass up.)
Request a “Reconsideration of Value” if there were new comps and additional information that would raise the value of the home, which were not available at the time of the original VA loan appraisal.