VA Home Loans - Anyone with experience post BK?

[bgns56]

ValleYum is on the money!
I got my credit reports back, Score was 675. However, what I was told by Brokers, realtors, lawyers etc..............that my "House" is considered a "foreclosure"by the banks!!!! Regardless of payment history etc. Sooooooooo, My options are to refi...(still wont erase the red flag "foreclosure") sell and fullfill the loan obligation for the VA. Walking away is not an option. So I will sell the house when I can and re use my VA benny down the road!

Your VA eligibility is just like PMI - it isn't the loan itself.

Once he pays off the mortgage his VA eligibility will be back to the maximum amount available to him. No fraud in paying off his *current* mortgage and regaining his VA entitlement to get his Certificate of Enititlement (COE) back.

Finding a lender to make the loan itself (with the VA guarantee) is a totally different story. You still have to qualify and jump through all the hoops lenders put you through to get your mortgage (we had a TON of them to jump through back in the day and I can't imagine it will be any easier right now).

Also, once the amount of time that the VA's current regulations require has elapsed to obtain a mortgage again post BK, he will absolutely be able to use his VA entitlement again. The only difference in re-using your VA COE is the amount of closing costs/fees the buyer has to pay (it increases with each subsequent use).

PS: df wasn't talking about fraud - df was talking about the removal of the IIB 'flag' on the VA loan bgns was paying off - it was the poster before (brianjs) that mentioned fraud and they were talking to a different person (grammy..) who may have indeed been contemplating fraud.

[toojerm]

What about post ch 13 discharge. Currently have a house in another state that I rent out at a loss because it is too difficult to sell while in ch 13. My 5 year plan is done next June with 100% paid in full ($111,000). Then I want to sell that house, free up my VA, and buy something here. What is that requirement?

[BK2PD]

give me a break on fraud, if you think the banks that is making millions of dollars care about your morality. Wake up and stop drinking the juice because you wouldn't be in this forum if you are doing well

[df04527]

[QUOTE=tobee43;568448]

lol!! i thought it worked it matches your avitar

It does! Lol

[tobee43]

yes, i understand, va's are difficult we tried i can't tell you how many times. we have never used it because of the difficulties associated with obtaining a loan via the va.

that is excellent that one can use it again, although, like you said i'm certain it would be really hard to get the loan through.

do you think? with the respect to the time elapsing, i'm hearing of many a few getting a mortgage by any avenue after a bk nowadays

ahhhhhhhh....ok i got it, i was lost in the fraud and not the IIB flag and as usual got it confused. thanks, i so need you to keep me straight LOL!!!

[tobee43]

[QUOTE=df04527;568393]

The dfster....lolol. Tobee u crack me up.... That name was an employee id that i had for 25yrs...should have come up with something easier...but dfster works...lol

lol!! i thought it worked it matches your avitar

[ValleYum]

no, i do not think it will either. actually, it will not, although not a bad idea, although possible fraud..yikes

Your VA eligibility is just like PMI - it isn't the loan itself.

Once he pays off the mortgage his VA eligibility will be back to the maximum amount available to him. No fraud in paying off his *current* mortgage and regaining his VA entitlement to get his Certificate of Enititlement (COE) back.

Finding a lender to make the loan itself (with the VA guarantee) is a totally different story. You still have to qualify and jump through all the hoops lenders put you through to get your mortgage (we had a TON of them to jump through back in the day and I can't imagine it will be any easier right now).

Also, once the amount of time that the VA's current regulations require has elapsed to obtain a mortgage again post BK, he will absolutely be able to use his VA entitlement again. The only difference in re-using your VA COE is the amount of closing costs/fees the buyer has to pay (it increases with each subsequent use).

PS: df wasn't talking about fraud - df was talking about the removal of the IIB 'flag' on the VA loan bgns was paying off - it was the poster before (brianjs) that mentioned fraud and they were talking to a different person (grammy..) who may have indeed been contemplating fraud.

[tobee43]

Paying off the VA Loan will (re)enable that guarantee amount to be eligible for a future COE. Not sure if it will work like you want it to, timewise, though.

no, i do not think it will either. actually, it will not, although not a bad idea, although possible fraud..yikes

[df04527]

[QUOTE=tobee43;568390]

i believe as usual, the dfster, is correct...exactly, everyone would be doing it!

The dfster....lolol. Tobee u crack me up.... That name was an employee id that i had for 25yrs...should have come up with something easier...but dfster works...lol

[tobee43]

Because that would be fraud.

you're so right, that would be fraud!

[ValleYum]

Paying off the VA Loan will (re)enable that guarantee amount to be eligible for a future COE. Not sure if it will work like you want it to, timewise, though.

[tobee43]

[QUOTE=df04527;568389]

Will refi the old house this summer (pre approved) then that BK redflag will be taken off the house note and my Credit status.


I'm not so sure that will remove the BK red flag from your report. I believe they will just add the new loan and close out the old one and leave the IIB status. I can't help but think if it was that easy everyone would be doing it to clean up their credit report.

i believe as usual, the dfster, is correct...exactly, everyone would be doing it!

[df04527]

Will refi the old house this summer (pre approved) then that BK redflag will be taken off the house note and my Credit status.


I'm not so sure that will remove the BK red flag from your report. I believe they will just add the new loan and close out the old one and leave the IIB status. I can't help but think if it was that easy everyone would be doing it to clean up their credit report.

[bgns56]

Va Loans

My situations is that I BK'd 2 years ago. Did not reaffirm my house. It is a VA loan! Payments always early or on time. No missed payments. Kids live there now. I want to buy another house via VA. Will refi the old house this summer (pre approved) then that BK redflag will be taken off the house note and my Credit status.

Next year sell the old house when the kids move out, Find or build my new house using the VA loan again .

If you foreclose or reneg on a VA loan you will almost definintley for sure lose that benny!

[brianjs]

Well here is a scenario/possibility:

Current mtg and 2nd not reaffirmed. Listed as included in bk. Still paying payments...

2 years out from BK the person is better off financially and wants to buy a home VA.

Would the 2 mtg's on old home count toward debt ratio? I am thinking no, if IIB it would say zero owed, no?

Thus, why couldn't one apply for and get a VA loan, close on the new house -- and then walk away from the other one (if they couldn't sell it, of course)?

Because that would be fraud.