Q? about VA housing loan?
How does the VA determine how much one recieves for the housing loan?
- usafbrat64Lv 71 decade agoFavorite Answer
Everyone is automatically eligible for up to a $400,000 loan guarantee. But, the VA is NOT the one issuing the loan! For your mortgage you will still have to go through a traditional financial institution, and they will determine how much they are willing to loan you. And most will base it on 25% - 30% of your income. (ex. If you bring home $5000 a month, then they will go with $1400 per month mortgage payment (including PTI), so about $200,000 house.)
Also, a VA loan will NOT exempt you from mortgage insurance. There are many states who still require mortgage insurance when you put down less than the standard 20%. We have had to have mortage insurance with both of our VA guaranteed homes. (Although we have a life insurance policy on me that is equal to the amount of our loan that we use as our MI)Source(s): AF spouse - 20 years
- Marine5Lv 71 decade ago
Call the Dept of VA Regional Office in
Tell them you want your Home Loan Papers...
They will send you a Certificate explaining
how much they will underwrite...
The VA DOES NOT make Home Loans...
They "Underwrite THEM"...Guaranteeing
that part of the loan to your Bank/Mortgage holder.
The home you are buying must meet
all of HUD's requirements...and I do mean ALL.
Go online and Look up VA/Hud homes that are for sale...
Will save you Thousands...
guidelinesSource(s): Retired Marine...
- Anonymous5 years ago
The VA and NFCU are two different things. NFCU is a credit union for military members and their families. VA doesn't grant the mortgage itself, it only guarantees it. If you want a mortgage then you will have to apply for one through a bank or credit union. Yes credit problems whether through NFCU or any other lender can cause you to not get one.
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- Anonymous1 decade ago
well you first need a 620 on your credit report. Also they go by your BAH and how much you make there. They will also determine how the house is and make sure it is the price that they are asking.
- Your Mom Says HiLv 51 decade ago
when my hubby comes back from Iraq we will be eligible for up to 400,000 but we both have credit scores well into the 700's so it really depends on you and your service
- 1 decade ago
there is one set price the va has