2017 VA Guidelines After Short Sale

This BLOG On 2017 VA Guidelines After Short Sale Was Written By Gustan Cho

2017 VA Guidelines After Short Sale To Qualify For VA Loan requires a mandatory waiting period of two years for a Veteran Borrower to qualify for a VA Loan.  Qualifying for VA Loans are much easier than any other loan program. The United States Department of Veteran Affairs offers excellent benefits for our Veterans who have served in any of our branch of the U.S. Military and have gotten a honorable discharge by rewarding them with a Certificate of Eligibility, or COE to qualify for VA Loans. Unfortunately, VA Loans are only for Veterans with a COE.

Here Are The Benefits And Qualification Requirements Of VA Loans:

  • VA Loans are only available for Veterans of the United States Armed Forces who have gotten a honorable discharge and have been awarded a Certificate of Eligibility. The Certificate of Eligibility is also referred to as a COE 
  • VA Loans do not require any down payment by the Veteran home buyer. Veteran homeowner needing to refinance can refinance up to 100% Loan To Value or LTV. VA allows up to 100% LTV on VA cash-out refinance loans
  • VA Loans are for owner occupant properties only. You can purchase a one to four unit residential owner occupant property with a VA Loan
  • We have no lender overlays on VA Loans. The only thing that we require is a 580 FICO Credit Score to qualify for a VA Loan and just go off the Automated Underwriting System FINDINGS
  • There are no debt to income ratio requirements on VA Loans. I recently gotten an approve/eligible per DU FINDINGS on a Veteran Borrower with a 582 FICO Credit Score and a 58% debt to income ratio due to the Veteran borrower having high residual income
  • VA does allow co-borrowers on the VA Loan but only married spouses can be co-borrowers. Unlike FHA Loans, VA does not allow for non-occupant co-borrowers
  • The Veterans Administration does allow home buyers to get a 4% sellers concession by the home seller to be used for closing costs
  • VA has a one time funding fee which can be rolled into the VA Loan
  • VA does not require mortgage insurance premium even though most VA Loans have 100% Loan To Value
  • The Gustan Cho Team specializes on VA Loans With Bad Credit
  • The Gustan Cho Team specializes on VA Loans With 580 Credit Scores
  • The Gustan Cho Team specializes on VA Loans With High Debt To Income Ratio

2017 VA Guidelines After Short Sale Versus Other Loan Programs

Here are 2017 VA Guidelines After Short Sale:

  • Veteran home buyers can qualify for a VA Loan after they had a prior short sale
  • There is a two year mandatory waiting period to qualify for a VA Loan after the Veteran Borrower had a prior short sale under 2017 VA Guidelines After Short Sale
  • Under 2017 VA Guidelines After Short Sale, the two year time clock on the two year waiting period after a short sale to qualify for a VA Loan starts from the date of the short sale that is reflected on the HUD Settlement Statement
  • You can qualify for a VA Loan with outstanding collection accounts and/or charge off accounts without having to pay the outstanding balances as long as you get an approve/eligible per Automated Underwriting System with a minimum credit score of at least 580 FICO
  • No late payments since the date of the short sale. If you do have one or two late payments due to extenuating circumstances, that is not a deal killer. Contact us to discuss your particular situation at 262-716-8151 or email us with your inquiry at gcho@gustancho.com

Here are Other Loan Program Guidelines After Short Sale:

  • FHA Requires a three year waiting period to qualify for a FHA Loan after a short sale versus a 2 year waiting period after a short sale to qualify for a VA Loan
  • USDA Loans also requires a three year waiting period to qualify for a USDA Loan after a short sale versus a 2 year waiting period after a short sale to qualify for a VA Loan
  • Fannie Mae and Freddie Mac, which are Conventional Loans, requires a four year mandatory waiting period to qualify for Conventional Loans versus a 2 year waiting period after a short sale to qualify for a VA Loan

If you are looking for a lender who have no overlays on VA Loans or have any questions on VA Loans, please contact Gustan Cho at 262-878-1965 or text at 262-716-8151 for faster response. You can also email us at gcho@gustancho.com. We are available 7 days a week, evenings, weekends, and holidays to take your mortgage inquiry.

The information contained on Gustan Cho Associates website is for informational purposes only and is not an advertisement for products offered by The Gustan Cho Team @ Gustan Cho Associates or its affiliates. The views and opinions expressed herein are those of the author and/or guest writers of Gustan Cho Associates Mortgage & Real Estate Information Resource Center website and do not reflect the policy of Gustan Cho Associates Lenders Network, its officers, subsidiaries, parent, or affiliates.

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