VA Loans Mississippi

VA Loans Mississippi Guidelines And Requirements On Home Purchase

Gustan Cho Associates are mortgage brokers licensed in 48 states

This Article Is About VA Loans Mississippi Guidelines And Requirements On Home Purchase:

VA mortgages are the best loan program for homebuyers due to the lenient VA Loans Mississippi Guidelines And Requirements On Home Purchase. Gustan Cho Associates is a mortgage company licensed in multiple states with no overlays on VA Loans Mississippi. A large percentage of VA Loans we originate and fund are from homebuyers who are veterans in the state of Mississippi. Mississippi is a state where homes are affordable, the cost of living is low, and has low taxes. The climate is great and there are many tourist destinations. Not only are the property taxes ranks as one of the lowest out of any state, but other taxes are lower than the national average. Many individuals and businesses are relocating to Mississippi due to the great job opportunities, low cost of living, affordable housing, and low taxes. The state has a robust growing healthy economy.

The Booming Mississippi Housing Market And Strong Job Market

The state government is well funded and run, unlike other states like Illinois, New York, and California. Many folks from New York, California, Illinois, and other high-taxed states are relocating to the Great State of Mississippi to call this state home. Disabled veterans and those who are looking for an affordable state with a low cost of living area located in Mississippi. Tens of thousands of new individual residents and businesses are migrating to Mississippi. Home values in Mississippi are skyrocketing due to the demand for new housing. Coupled with low mortgage rates and affordable housing, the Mississippi housing forecast is expected to skyrocket in the coming months and into 2025.

In this article, we will discuss and cover Qualifying for VA Loans Mississippi Guidelines With No Lender Overlays.

Qualifying And Getting Approved For VA Loans Mississippi

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VA loans have one of the most lenient agency mortgage guidelines than any other loan program. All lenders need to meet the minimum agency VA Agency Guidelines. VA loans have the most lenient agency mortgage guidelines than any other traditional loan program. VA loans have no minimum credit score requirements or maximum debt to income ratio caps. Outstanding collections and charged-off accounts do not have to be paid to qualify for VA loans.  VA loans allow for manual underwriting. Gustan Cho Associates has closed thousands of VA loans with credit scores down to 500 FICO and debt to income ratio exceed 65% DTI.

Understanding  Agency Mortgage Guidelines By The Veterans Administration Versus The VA Loan Requirements By Mississippi VA Lenders

Lenders can have higher lending requirements that are above and beyond the minimum agency VA guidelines called lender overlays. Not all lenders have the same VA Lending Requirements. All lenders require borrowers to meet minimum VA Guidelines by the Department of Veterans Affairs. However, every lender can have higher lending requirements called lender overlays. The higher requirements mandated by each individual lender are called overlays. For example, the VA does not have a minimum credit score requirement. However, many lenders will require a 620 or higher credit score on VA loans.

Mississippi VA Lenders With Lender Overlays

Most Mississippi VA enders have lender overlays on VA loans. Mississippi VA lenders can have lender overlays on just about anything. They can require higher credit scores, have a lower debt to income ratio cap, require borrowers to pay outstanding collections and/or charged-off accounts, require reserves, and have other credit/income restrictions. Gustan Cho Associates is one of the very few national lenders that have no lender overlays on not just VA Loans, but no overlays on all other government and conventional loans.

VA Loan Requirements On Credit Scores

The Department Of Veterans Affairs does not mandate minimum credit score requirements or maximum debt to income ratio cap as long as the borrower can get an approve/eligible per automated underwriting system. To get the best chances of getting an approve/eligible per automated underwriting system, the borrower should have been timely in all of their monthly payments for the past 12 months and have strong residual income. The VA also does not have any minimum debt-to-income ratio maximum cap. Most lenders will require a 620 to 640 credit score.

VA Loan Requirements On Debt-To-Income Ratios

Most lenders will have debt-to-income ratio requirements of no greater than 41% to 50%. Gustan Cho Associates Mortgage Group has zero overlays on VA Loans. We recently closed a VA Loan with a borrower who had credit scores under 600 and down to 500 FICO with a 60% DTI. We just follow automated underwriting system findings. As long as the borrower gets an approve/eligible per AUS and can meet the conditions, we will approve and close the loan.

Mississippi VA Loan Requirements And Guidelines

What are the eligibility requirements and general guidelines for Va loans

Here are the minimum basic VA Guidelines:

  • The borrower needs to be an active and/or retired member of the United States Military with a valid certificate of eligibility (COE)
  • The VA has no minimum credit score requirements as long as the borrower can get an approve/eligible per automated underwriting system (AUS)
  • No debt-to-income ratio requirements as long as the borrower can get an approve/eligible per AUS
  • The borrower often can get an approve/eligible per AUS if they have sufficient residual income
  • 100% financing with no down payment required
  • Outstanding collections and charged off do not have to be paid off 
  • Can purchase one to a four-unit property with 100% financing
  • Buyers normally do not have to worry about paying for closing costs
  • Closing costs are normally covered by sellers concessions and/or lender credit
  • The two-year waiting period after Chapter 7 Bankruptcy, foreclosure, deed in lieu of foreclosure, short sale
  • Borrowers can qualify for VA Loans during Chapter 13 Bankruptcy Repayment Plan with Trustee Approval via manual underwriting
  • No waiting period after Chapter 13 Bankruptcy discharged date

VA loans have lenient agency mortgage guidelines than other mortgage loan programs.

Starting VA Mortgage Qualification And Pre-Approval Process With A Mississippi Licensed Lender With No Overlays

Gustan Cho Associates are experts in originating and funding VA Loans Mississippi with no VA lender overlays. Borrowers who are either residents of Mississippi or looking to relocate to Mississippi, please contact us at 800-900-8569 or text us for a faster response. Or email us at We are available 7 days a week, evenings, weekends, and holidays. Gustan Cho Associates is licensed in multiple states and has a national reputation of not having any lender overlays on government and conventional loans. Gustan Cho Associates also has dozens of lending partnerships with wholesale non-QM lenders. Over 75% of our borrowers at Gustan Cho Associates are folks who could not qualify for a mortgage at other lenders. With the combination of being able to do government and conventional loans with no lender overlays and non-QM loans, Gustan Cho Associates has a national reputation of being a one-stop mortgage shop.

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  1. Hi,

    I hope this message finds you well! I saw this post:

    which got me interested in learning more about the no doc mortgage. I am a self employed mental health therapist contracted with BCBSIL. I have only been in practice since March 2021, what would be the next steps in learning more about the no doc mortgage- the requirements, etc. I have been renting for the past ten years and I’m ready to make the step to purchase a home.

    Looking forward to hearing from you soon,


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