Govt Home Loans

HMTKSteve

Does anyone have experience with VA or other govt home loans?

I'm getting ready to use my VA loan to buy a forclosure but I can't get any clear answers on what to be wary of (home deficiencies) or what will disqualify a home from getting approval.

George Patches

Is it a short sale or an actual foreclosure?

Rochelle

http://www.benefits.va.gov/homeloans/

HMTKSteve

The one I want is currently bank owned. $110,000 in a good area of town with 2 bedrooms.

It was built in 1943 with septic redone in 2000. Has asbestiis siding that is in a non-friable state. Nothing jumps out at me as a VA loan killer but the guidelines on the VA site are a bit vague.

I can walk out the door paying $841 a month for mort, taxes and ins.

Rochelle

Call customer service and wait for a long time?

George Patches

I'd talk to a real estate agent, what area are you looking to buy? My aunt is very good if you're interested in her number. She's very knowledgeable about short sales and will probably know the intricacies of foreclosure loans and various other pitfalls.

HMTKSteve

I have an agent and I'm working with a mortgage broker who does USDA loans but not VA loans. He is trying to find someone local to help with the VA loan details.

I already have been prequalified for up to $220K with a convential mortgage but the VA option is much better for me.

The place does need some cosmetic work (paint/floors/cleaning) but everythig appears to be in working order. It would take a weekend of work before moving in.

When I ask ppl about the required inspection I can't get clear answers. It looks like as long as everything works and the siding is non-friable there should be no problems.

Oddities:
1/4 of basement is ledge (rock).
Closet on main floor is mini bathroom (toilet and 5"x7" sink) I t looks like a tight fit with door closed.
Bulkhead to basement is broken.
Some storm windows are cracked/broken, actual windows are single pane and intact.
Stairs to basement end on ledge (rock), looks like someone cut hole in a closet floor to add them in!
Lite mildew smell in kitchen area only.
Some paint pealing inside high on walls.

Matt

I had no idea that the USDA did loans, I guess because I've never been interested in rural or agricultural property. I just have this image of someone stamping a grade on some beef, turning around to sign some mortgage documents, and back to the beef.

GreatTeacherMacRoss

When I ask ppl about the required inspection I can't get clear answers. It looks like as long as everything works and the siding is non-friable there should be no problems.

DO NOT BUY ANYTHING WITHOUT GETTING A GOOD INSPECTION FIRST.
If anyone is cagey or vague about inspections, bail. Period. End of story.

HMTKSteve

the home will be inspected. What I am trying too find out is what will make it fail a VA loan inspection. I already know what will make it fail *my* inspection. I have already passed on better deals that were not up to my standards.

Mold = instant fail
Chipping non-lead paint = no fail
Broken step on porch stairs is aquick repair but it might fail a VA inspection as a safety issue.

Rym

Mold = instant fail

Yeap. Mold eliminated many of my possible choices in Beacon.

dsf

In order to get your VA loan you have to have one of their inspectors come out to look at it. You should contact the VA for more info.

Victor Frost

Also, do a radon test. Radon is invisible, odorless, and can has the same health effect on you as if you were smoking 30 packs of cigarettes a day. So say my biology of cancer professor, Dr. Steven Oppenheimer.