Any Vietnam era veterans here that have used the Guaranteed Home Loan?

[Brutuskend]

How hard was it to arrange and how many hoops did you have to jump through?

Getting a late start on all this!

I served in "The Corps" from 1971-1975 and got a general under honorable, so I know I qualify, although my credit leaves something to be desired.

I can however come up with a fair amount of cash for a down payment...........

 

[geno]

that joke wasn't all that funny

 

[Brutuskend]

up

 

[PsychoAndy]

Although far too young to have served in 'nam, I dont think it should be much more difficult than a regular home loan. The paperwork is truly painful either way.

Consider talking to your local VA office and you might be able to get more info. Check around the web and see if there are any boards that vietnam vets frequent and you might be able to get more firsthand info.

-PAB

 

[Brutuskend]

Yeah I've found places online where I can get the paperwork etc.

I was just hoping there might have been someone here thats been through it and could maybe give me some clues.
<-----------Clueless

 

[PsychoAndy]

Originally posted by: Brutuskend
Yeah I've found places online where I can get the paperwork etc.

I was just hoping there might have been someone here thats been through it and could maybe give me some clues.
<-----------Clueless

Ah, the usual!

-PAB

 

[Tripleshot]

I used it to buy my first home in Colorado about 30 years ago. It was paid off a long time ago by someone who assumed the mortgage when I sold it. My GI loan is now free to use again. You can get a lot of loan using it with little down, as long as the home quailifies. Understand ,the VA loan is just a guarentor of the financing that some other underwriter is going to place in on the loan a lender will be give to you. You must still qualify under the guidelines acceptable to the lender and in compliance with the VA rules.

Interest rates will be close to the same as for a non qualifying loan. Your savings maybe in the downpayment department,or up front fees, but all they do is blend those fees into the loan or back end them. No one loans money on mortgages without getting their money for processing and administering the loan, one way or another, and the consumer pays. It's the American way.

I am a loan officer for a national company in Utah. If you have the GI bill available, contact your lender source and pre qualify. Then go search for the home that meets your criteria.

Good Luck and happy home hunting.

 

[Brutuskend]

Thanks.

Some one told me that if I had a LARGE downpayment, I could still get a loan even if my credit is bad.

Any truth to that?

 

[PsychoAndy]

Originally posted by: Brutuskend
Thanks.

Some one told me that if I had a LARGE downpayment, I could still get a loan even if my credit is bad.

Any truth to that?

I heard 25% down is the magic number. But its hearsay.

-PAB

 

[Tripleshot]

Some one told me that if I had a LARGE downpayment, I could still get a loan even if my credit is bad.

Someone gave you bad advice. Your ability to purchase your new home is based on information from your credit report. It is normally judged by a FICA score. If you have a long list of derogatories (slow pay to collections), then unless those are resolved satisfactorily to the lender, you will not get a loan no matter how much you put down.

That said, You know how well you will stack up in that department. If the credit info is fairly old(more than 2-5 years) and you have steady verifiable income over the last 2 years, put that large amount of DP you have in the bank and make a minimum DP. Get the loan that satisfies your personal needs with as little out of pocket as you can. You will need to show a certain amount of income in your bank account over a period of time to prove to the lender you are stable and can manage your money.

If you have enough cash on hand to cover loan costs and 6 months mortgage IN THE BANK, then I am fairly certain you can get a loan. The interest rate to start out may not be the lowest in comparison to someone with A1 credit and NO derogagatories, but you can probably still get qualified and get your home.

That is why I advise you to seek a person like me to help you get started and get pre qualified. There are plenty of loan officers available in Eugene Oregon. I have been there. It is a beautiful place. I hope you get a nice home. ( And clean up your credit mess. You can see now why, can't you?)

 

[Brutuskend]

Yes.......:frown:

 

[Jfur]

Good question. We are planning to soon under Vietnam-era vet status. We have the req paperwork and are checking stuff out. One great thing is the lack of PMI but I notice that a lot of lenders do not offer the lowest rates for VA loans and I wonder in a tight market if the added steps will make it harder to secure a place.

 

[StattlichPassat]

Wow Brut, you're older than I thought! :Q

 

[gopunk]

Originally posted by: Brutuskend
Thanks.

Some one told me that if I had a LARGE downpayment, I could still get a loan even if my credit is bad.

Any truth to that?

i know jack about the military, so maybe this is a dumb question, but what doesn't the "guaranteed" part mean that it's guaranteed? why does your credit matter?

 

[StattlichPassat]

I don't think it would.

 

[Johnnie]

I used my VA loan on my first house....no down payment at all...

 

[C'DaleRider]

i know jack about the military, so maybe this is a dumb question, but what doesn't the "guaranteed" part mean that it's guaranteed? why does your credit matter? :confused

The "guarantee" part is the guarantee to the lender that if the vet defaults on the loan, the VA/gov't will pay off the loan. It's NOT a guarantee that the vet will be able to qualify for the loan.

 

[Linflas]

It is a piece of cake Brutuskend. I have been using mine continuously since 1989. You will need to get your Certificate of Eligability from the VA which requires (at least when I did it) nothing other than your DD-214. I got mine in about 10 minutes right from the VA office in DC but you may have to do it by mail depending on where you live and whether there is an office close by. Other than that the process is not all that different than any other mortgage other than the fact they cannot require you to carry mortgage payment insurance.
Have a look at the VA's website here for more details.