Financing in 02184>Question Details

Danny Church, Other/Just Looking in 02184

Can you finance a 203(k) loan through the VA?

Asked by Danny Church, 02184 Sat Feb 26, 2011

I just read an artical (http://fredericksburg.com/News/FLS/2011/022011/02222011/608793) about 203(k) loans that allow you to finance both the purchase of a home and needed improvements through a single mortgage. If I'm looking for a VA loan to purchase a new home, is this product available?

0 votes Share Flag Financing in 02184

Help the community by answering this question:

Answers

11
@ Danny,

VA is an awesome loan program... particularly for a disabled vet!

Unfortunately if the property you find needs work it won't be an option. Realistically if you find a property that will need renovation, you will need to have 3-5% available for down payment and closing costs.

My question was to find out the reason you wanted a VA loan. The tough part of choosing a mortgage is in most cases there is not a right or wrong answer. It is more about finding the best product/program for your personal situation.
1 vote Thank Flag Link Sat Feb 26, 2011
I'm sure the lenders can find some way to do this for a vet.
0 votes Thank Flag Link Thu May 30, 2013
Hi Danny,

Thank you for your service to our Country! As a fellow Veteran (OIF II) I would agree that the VA loan program is a great program, especially if you are a disabled Veteran. Disabled Veterans may be exempt from the funding fee. A down payment (in most cases) and PMI are not required. Unfortunately, as far as I know, there is no rehab type VA loan options available.

Feel free to call me or E-Mail me directly, as I can recommend a great book that may help you out in your application process for VA disability benefits.

Chuck Brintnall
508-738-1752
CharlesBrintnall@SankeyRealEstate.com
0 votes Thank Flag Link Thu Jun 2, 2011
I can't help but ask this question of Maria.

Why find an experienced Realtor to make an introduction to a good loan officer?

It's one thing if you have an existing relationship with a realtor and you look for a referral. But to find a realtor and then from that find a loan officer ...it seems to me that you have added a step and increased the chances of a bad referral.

If you don't have a trusted relationship...Why not look for a referral directly to a lender/loan officer.
0 votes Thank Flag Link Sat Feb 26, 2011
First of all Thank you for your service to our country. VA loans have a lot of up front costs. As others that have answer your question. The best way to go is find a experienced realtor in your area and ask if they have a good mortgage originator that could advise you. Once you have a person you can sit down with not over the interenet please, you know what you can do. Good luck and I hope everything works out for you, You certainly deserve it. If you end up in the Boston area let me know.
0 votes Thank Flag Link Sat Feb 26, 2011
@ Andrew Adams

Andrew, I'm not sure how to respond directly to your questions other than adding an "answer."

I don't have to go with a VA loan, and I will sit down with a mortgage professional once the time comes (probably a 2-4 months from now). I'm nearing the end of the process of applying for disability benefits through the VA, and while I'm not certain that they will be approved, if they are I was thinking that a "no down payment (or at least minimal depending on the value of the loan" with no funding fee and no PMI is likely to be one of my options.

If it were to happen as I am optimistically planning, I was just curious to see if the 403(k) product would be available through that option.
0 votes Thank Flag Link Sat Feb 26, 2011
There is also HomePath Renovation financing on Fannie Mae owned foreclosed homes. You will need at least 3% down, though.
0 votes Thank Flag Link Sat Feb 26, 2011
My question as a mortgage professional is why do you have to go with a VA loan?
0 votes Thank Flag Link Sat Feb 26, 2011
I am not aware of a loan like that for VA. There are mortgage people that sign into this sight that may be able to help.
0 votes Thank Flag Link Sat Feb 26, 2011
I am not aware of a VA rehab loan. 203K loans are FHA products, not VA. I would talk to a reliable mortgage person and explore various types of loans to see which is the best product for you. Could be VA, maybe not. There are also private Rehab loans through some very well known lenders, I know Wells Fargo is doing them for example. Also check out USDA loans (department of agriculture) you may be surprised to find that yours is considered a 'rural area' and USDA has a fine product. What you really need is a mortgage professional who is very familiar with ALL options so you can pick the right one.
0 votes Thank Flag Link Sat Feb 26, 2011
VA does not offer the 203K program. If you are looking for a 100% LTV renovation loan you will be looking for a long time. As far as I know no such program exists.
0 votes Thank Flag Link Sat Feb 26, 2011
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2014 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer