Comments on: The VA Loan: Perfect 100% Home Financing for Veterans http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/ Home Mortgage Expert in Phoenix, Arizona Wed, 19 Nov 2008 23:35:21 +0000 http://wordpress.org/?v=2.6.1 By: Arizona Mortgage Guru » Washington Post Doesn’t Understand Credit Scores http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-2308 Arizona Mortgage Guru » Washington Post Doesn’t Understand Credit Scores Thu, 03 Jul 2008 03:09:36 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-2308 [...] However, the article fails to mention one very important aspect of interest rates. The senators FICO score. This makes a big difference. The article states that the average loan rate for a similar program was 5.94 percent. So, supposedly he received a 30 basis point “discount”. Well considering the average credit score in Illinois is 684, if the Senators FICO score was well above 720+ then a 30 basis point difference is well within the range. So, I don’t understand why the Post is making such a big deal about a $300/month savings for a higher credit score borrower. They obviously don’t read my blog otherwise they would have read about the four corners of a mortgage. [...] [...] However, the article fails to mention one very important aspect of interest rates. The senators FICO score. This makes a big difference. The article states that the average loan rate for a similar program was 5.94 percent. So, supposedly he received a 30 basis point “discount”. Well considering the average credit score in Illinois is 684, if the Senators FICO score was well above 720+ then a 30 basis point difference is well within the range. So, I don’t understand why the Post is making such a big deal about a $300/month savings for a higher credit score borrower. They obviously don’t read my blog otherwise they would have read about the four corners of a mortgage. [...]

]]> By: agentgenius.com- national real estate opinion column » Blog Archive » Fed Needs to Learn to KISS http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1503 agentgenius.com- national real estate opinion column » Blog Archive » Fed Needs to Learn to KISS Tue, 05 Feb 2008 18:43:54 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1503 [...] the property. The buyer goes to a lender and applies for a mortgage. The lender then looks at credit scores, employment/income, assets and property type to make a lending [...] [...] the property. The buyer goes to a lender and applies for a mortgage. The lender then looks at credit scores, employment/income, assets and property type to make a lending [...]

]]> By: Arizona Mortgage Guru » Mortgage Loan Options for Americans Living Abroad http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1500 Arizona Mortgage Guru » Mortgage Loan Options for Americans Living Abroad Tue, 05 Feb 2008 17:47:55 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1500 [...] Fear not. Your situation is very salvageable, even in today’s mortgage market. Just from the information you have submitted, it appears the best option for you would be the FHA loan. If you are a veteran of the US military (any branch including National Guard), then you may also be eligible for a VA loan. [...] [...] Fear not. Your situation is very salvageable, even in today’s mortgage market. Just from the information you have submitted, it appears the best option for you would be the FHA loan. If you are a veteran of the US military (any branch including National Guard), then you may also be eligible for a VA loan. [...]

]]> By: Shailesh Ghimire http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1376 Shailesh Ghimire Wed, 16 Jan 2008 17:58:00 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1376 The VA loan is a great option if you qualify. In the past many lenders would place VA applicants in subprime loans because of lower cost (insurance wise and upfront costs), but now with the demise of the subprime industry, VA is a strong program. It always has been, it was just neglected in favor of a glitzy alternative. The VA loan is a great option if you qualify. In the past many lenders would place VA applicants in subprime loans because of lower cost (insurance wise and upfront costs), but now with the demise of the subprime industry, VA is a strong program. It always has been, it was just neglected in favor of a glitzy alternative.

]]> By: VA Loans http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1371 VA Loans Wed, 16 Jan 2008 00:57:05 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1371 Lots of Vets are staring to use va loans alot more now. the va is the best option right now I think for a lot of vets. especially if you are allready in a va loan. Lots of Vets are staring to use va loans alot more now. the va is the best option right now I think for a lot of vets. especially if you are allready in a va loan.

]]> By: Arizona Mortgage Guru » Monthly Mortgage Insurance and Other VA Loan Features http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1054 Arizona Mortgage Guru » Monthly Mortgage Insurance and Other VA Loan Features Tue, 13 Nov 2007 18:48:33 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1054 [...] Hubbard from BlogArizona.Com left a really great comment on my post “The VA Loan: Perfect 100% Home Financing for Veterans“. I had always intended to follow upon on these points but she covered it for me. So, [...] [...] Hubbard from BlogArizona.Com left a really great comment on my post “The VA Loan: Perfect 100% Home Financing for Veterans“. I had always intended to follow upon on these points but she covered it for me. So, [...]

]]> By: Shailesh Ghimire http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1019 Shailesh Ghimire Thu, 08 Nov 2007 18:13:21 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1019 Shannon, Thanks for adding all this information on here. That's great. I'd been meaning to do a post on more VA details. Shannon,

Thanks for adding all this information on here. That’s great. I’d been meaning to do a post on more VA details.

]]> By: Shannon Hubbard http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1014 Shannon Hubbard Wed, 07 Nov 2007 17:14:40 +0000 http://www.azmortgageguru.com/the-va-loan-perfect-100-home-financing-for-veterans/#comment-1014 Great article Shailesh. I haven't seen anyone use a VA loan in years, but they're coming back lately with these tighter lending requirements. As a veteran myself, I've used VA loans before and they are especially good for first time buyers. The only thing I don't like about VA loans is that you have to pay a funding fee of around 2-3% (it varies depending on your circumstances, and I haven't kept up with it, so don't quote me on that number!). The funding fee can be financed into the loan, so you don't have to pay it up front. But veterans who have a service connected disability do NOT have to pay the funding fee. The funding fee goes to VA I believe, and does not go towards paying for the house in any way. If I have to pay 2-3%, I'd rather have it go towards my downpayment rather than to VA. But on the other hand, with a FHA 3% down loan, I think you still have to pay mortgage insurance, which you don't with a VA loan (please correct me if I'm wrong Shailesh - I know you keep up to date on all the loan programs and are way more knowledgable than I!). Also, as you mentioned, the appraisal standard is a bit tighter with VA loans. VA appraisals look more closely at certain aspects of the property's condition. The main things I see VA appraisers call out are broken windows and peeling exterior paint. When this happens, they usually make the repairs a condition of the appraisal - in other words, the appraisor says the property is worth x number of dollars IF the broken windows and peeling paint are repaired. The lender will then usually make those repairs a condition of loan approval. Great article Shailesh. I haven’t seen anyone use a VA loan in years, but they’re coming back lately with these tighter lending requirements. As a veteran myself, I’ve used VA loans before and they are especially good for first time buyers. The only thing I don’t like about VA loans is that you have to pay a funding fee of around 2-3% (it varies depending on your circumstances, and I haven’t kept up with it, so don’t quote me on that number!). The funding fee can be financed into the loan, so you don’t have to pay it up front. But veterans who have a service connected disability do NOT have to pay the funding fee. The funding fee goes to VA I believe, and does not go towards paying for the house in any way. If I have to pay 2-3%, I’d rather have it go towards my downpayment rather than to VA. But on the other hand, with a FHA 3% down loan, I think you still have to pay mortgage insurance, which you don’t with a VA loan (please correct me if I’m wrong Shailesh - I know you keep up to date on all the loan programs and are way more knowledgable than I!). Also, as you mentioned, the appraisal standard is a bit tighter with VA loans. VA appraisals look more closely at certain aspects of the property’s condition. The main things I see VA appraisers call out are broken windows and peeling exterior paint. When this happens, they usually make the repairs a condition of the appraisal - in other words, the appraisor says the property is worth x number of dollars IF the broken windows and peeling paint are repaired. The lender will then usually make those repairs a condition of loan approval.

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