VA Loans Bad Credit Tennessee With No Lender Overlays
This Article Is About VA Loans Bad Credit Tennessee With No Lender Overlays
Tennessee’s housing market is hot. Many residents are migrating to Tennessee due to the following reasons:
- No state income taxes
- Low cost of living
- Affordable housing
- Great economy
- Job opportunities
- Low property taxes
- Great weather
- Countless places to visit
Migration To Tennessee By Residents Of High-Taxed States
Countless residents are fleeing high-taxed states like New York to lower-taxed states like Tennessee. Tennessee has a healthy economy and positive cash flow. The state is ranking in billions by the migration of new residents.
The state also has a large population of active and retired veterans of the U.S. Armed Services. Tennessee is a great state for qualified veterans with a Certificate of Eligibility (COE) to purchase a home. In this article, we will cover and discuss VA Loans Bad Credit Tennessee and how out-of-state homebuyers can qualify for a VA Loan.
VA Loans Bad Credit Tennessee Guidelines Versus Lender Overlays
All lenders will require borrowers to meet the minimum mortgage guidelines by the VA. Lenders can have their own guidelines on VA loans that surpass the minimum VA Agency Guidelines. The additional guidelines by lenders are called lender overlays. Due to lender overlays, not all mortgage companies have the same VA Lending Requirements. Just because a borrower gets denied at one lender on a VA loan does not mean that they cannot qualify at another lender with no VA Lender Overlays.
Gustan Cho Associates is one of the very few national direct lenders with no lender overlays on VA Loans.
General VA Agency Mortgage Guidelines For VA Loans Bad Credit Tennessee
The Department of Veterans Affairs (The VA) has one of the most lenient mortgage guidelines. The VA made VA loans possible for qualified veterans of the U.S. Military as a token of appreciation for their service. The VA insures and partially guarantees lenders if the borrower defaults and forecloses on their VA mortgages. Due to this government guarantee, lenders can offer VA Loans to qualified borrowers at very competitive mortgage rates and 100% financing.
Here are the basic VA Agency Mortgage Guidelines:
- 100% financing with no down payment required
- There is no maximum loan limit on VA loans
- No minimum credit score requirement as long as the borrower can get an approve/eligible per automated underwriting system
- No maximum debt to income ratio cap with an approve/eligible per automated underwriting system
- There is a two-year waiting period after Chapter 7 Bankruptcy, foreclosure, short-sale, deed in lieu of foreclosure
- Borrowers can qualify for VA loans during Chapter 13 Bankruptcy repayment plan without having Chapter 13 discharged with Trustee Approval
- There is no waiting period after the Chapter 13 Bankruptcy discharged date
- Outstanding collections and charged-off accounts do not have to be paid to qualify for VA loans
Qualifying For A VA Loan With A Direct Lender With No Lender Overlays
Gustan Cho Associates has a five-star national reputation for being able to close mortgages other lenders cannot. We are one of the very few national lenders with no lender overlays on government and conventional loans. Over 75% of our borrowers are folks who cannot qualify elsewhere due to their lender overlays. To qualify with a lender with no overlays on VA Loans, please contact us at Gustan Cho Associates at 262-716-8151 or text us for a faster response. Or email us at [email protected]