Home Buying in Vacaville>Question Details

Charlie, Home Buyer in California

My husband and I are home searching in Vacaville; we were told it will be hard due to using a VA loan. Is this true?

Asked by Charlie, California Thu Nov 22, 2012

We are looking for some acreage and will be using a VA loan.

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As a disabled Vietnam veteran in April, May and June 2012 in Vacaville I heard all of the rumors and claims about VA loans you are probably hearing. Don't believe any of it. Sure some agents and sellers don't like the VA process because, IMHO, the VA and the VA appraiser will not gurantee a loan for more for a house than it appraises at, or allow you to overpay on a property. For someone who works on a commission the fact that the VA looks out for the vet makes VA loans a problem. Don't forget it ... A good honest agent will have no problem putting you in a home. If they DO have a problem then you should probably fire them.

A VA guaranteed loan is not useful in a short sale situation. But so what? Most "as is" properties start out being "money pits" anyway ... Nearly 80% of those I saw were nothing like the online advertisement ... some houses still had prior owner's belonging in them.

I found that what many brokers and sellers - even private mortgage companies - have at interest seemed to be THEIR interests first and the buyers interest second. A "sellers market" line is a way for an agent to spook you, to rush you in to a purchase which probably isn't in your interest.

The VA loan system is designed to prevent the veteran from falling prey to the many of the kinds of predatory sales and lending tactics which caused the recent real estate market collapse. And many of those tactics are still being used covertly. If someone tries to rush you with terms like "sellers markets"
or by bad mouthing the VA loan approval process fire them and get a new agent.

The VA requires a strict "pest" inspection ... so what? It is in your interest to have a thorough pest inspection. Think of it this way, the VA does not want to guarantee a loan whose value is false.

You can use a VA loan guarantee and buy a house without any more problems than other buyers (aside from the cash people only in to investment) ... I used my VA loan guarantee along with my own bank ( a well known large bank people say won't loan money) financing my mortgage in a Vacaville "sellers" market (funny that in a so called "sellers market" the appraiser had trouble finding "sold" houses for comps) and I found my house within a month ... It appraised at 5k less than the seller wanted and when the seller wouldn't budge I elected to use a VA protection to end the transaction with no bias or burden for me and very quickly the price was lowered to the appraised price + a 1k deposit = 4,000 less than fthe asking price. I was living in that house within about 45 days. My broker in Vacaville was Ann Mikalis of Kappel & Kappel - if Ann thought my loan guarantee was a prpblem I never knew it. She was very informed about the VA benefit and didn't make me feel any less capable because I wanted to use it. I joined when there was a draft, served my country and was injured. I remember getting out of the military in '75 and wouldn't admit to serving for 5 years because there was such disrespect for Veteran's back then. It makes me angry to read similar toward vets & VA loans here.

There's your so-called "sellers" market ... Be patient, insist on your VA benefit, and be thoughtful, if that bothers your agent or broker or they tell you they can't find you a property because a VA loan guarantee hobbles you don't hesitate to fire them ... an honest competent real estate agent and mortgage broker won't have any problem making the VA guarantee work. Make sure that they aren't working for the seller's interest. A good honest broker and lender can help make the VA loan guarantee benefit work as quickly as any other way to buy a house with solid protection for the buyers ... Also, whichever of you are the veteran you need to go on line and register with the VA EBenefits page. You can get any paperwork, copies of your COE, etc. directly from that site with no wait.

So contrary to what you hear here from the business side ... As a Vietnam Vet I used my VA benefit, my home bank and started looking for a house in Vacaville in May 2012. I found it in a VERY nice area, selling for about 1/2 its 2008-09 value. I did my own inspections, got a 30 year fixed at the low interest rate back then (mid 3%) and in the end felt that the VA helped me get my house as was intended by the original benefit guarantee and moved in to my new house by the end of June.

Finally, if you are in California there is a Veteran's property tax exemption nobody tells you about. It saves you a lot of money on prpperty taxes once you are a home owner. Apply for it as soon as you can and you'll see your escrow and monthly payment drop nicely in 2 to 3 months permanently. lIf you are a senior or a disabled veteran or have a qualifying income the exemption can be even larger ... VERY SIGNIFICANT! So check with your County Assesor's Office regarding veteran exemptions ... They'll fill you in.

Michael - Vacaville Property owner since 6/2012
2 votes Thank Flag Link Sat Dec 22, 2012
FIRST AT ALL CONGRA TULATION . YOU GET THE HOUSE AT THE VERY RIGHT TIME . SECONDLY ,THANK YOU SO MUCH FOR SERVICE FOR MY COUNTRY .ALL THE TIME I FILL SO GRATEFUL FOR US SOLDIERS WHO DEDICATED EVEN THEIR LIFES FOR US. I AM A VIETNAMESE WOMAN .
MY HUSBAND IS A DISABLE VN VETERAN,TOO .
LATELY MY HUSBAND WAS APPROVED A LOAN OF MID 200KFROM THE BEG.OF APPRIL . WE KEEO ON LOOKING,OFFERING FOR THE HOUSE BUT GET NONE SO FAR .AT THIS TIME A HOUSE CAN GET TO 30 OR EVEN 40 OFFERS . WE HAS A FRIEND WHO WORKS AS BROKER HELP US TO FIND A HOUSE IN VALLEJO,FAIRFIELD,SUISUN CITYWHERE EVER THAT SUIT OUR LOAN . I HOPE SOMEDAY WHEN OUR OFFER ACCEPTED WE CAN CONTACT YOU TO GET YOUR ADVISED TO GET THINGS DONE SMOOTHLY BECAUSE MY AGENT HASN'T CHANCE TO WORK WITH VA LOAN YET .
MY EMAIL ADDRESS IS : phuongdung_057@yahoo.com .
thank you very much for your kind attention
june locklear
Flag Thu Apr 25, 2013
Loan pre-qualification is paramount . I have some excellent lenders to help. In the Fairfield /Vacaville area there are lots of active and retired military and I will canvas for sellers who will accept a VA loan. There are patriots who will honor your service and work with you to complete a sale.

Yes there is competition and it is at the moment a seller's market but I never give up.
0 votes Thank Flag Link Mon Apr 29, 2013
I can go over a VA loan financing strategy with you to submit offers that will get accepted and share with your Agent...

Although VA is not a fico score based loan program a lot of Lenders will have their overlays and may require minimum fico scores and strict guidelines. There is none of this with the bank I use. It only takes a few dozen questions to qualify you in minutes.

http://www.under640ficoscoreloans.com/Pages/VAHomeLoans.aspx

http://www.under640ficoscoreloans.com/Pages/ContactSheryl.aspx
Sheryl Arndt, Real Estate Broker – Sr. Loan Officer CA only
REO & Short Sale Specialist
20+ Years Experience
DRE# 01140252
NMLS# 297251
760-486-4225
0 votes Thank Flag Link Tue Dec 11, 2012
I have had several buyers who have used there VA to purchase a home. Yes it will be frustrating and you may have to write several offers to finally get one accepted but it is possible. You will have to expect in most cases to offer over list price as long as the home will appraise.
0 votes Thank Flag Link Fri Nov 23, 2012
Written properly, I have had many buyers do the same in this market.
I can NOT stress enough: Get loan approved BEFORE looking or buying!!
0 votes Thank Flag Link Fri Nov 23, 2012
Yes, as a VA or FHA backed buyer you are at a real disadvantage, especially if you enter an environment with multiple offers. As mentioned earlier. a strategy would be well advised.

Consider working with an agent who has a "First Look" program with a network of brokers and agents.
Then, when you locate the home, you must demonstrate you willingness to not let your deal be sabotaged by a PREDICTABLY low appraisal. Don't shop at the top of your capability to purchase.

You are at a disadvantage. If you want to buy a home you must level the playing field. Those a just a few suggestions. There are many more including Walter's cover letter recommendation.

Best of Success to you,
Annette Lawrence, Broker/Associate
Remax Realtec Group
Palm Harbor, FL
727.420.4041
http://RealEstateMadeEZ.us
0 votes Thank Flag Link Fri Nov 23, 2012
It is a seller's market with demand for homes greater than the supply. The buyer with the largest down payment usually gets the property. When making an offer with a VA loan, I would suggest you write a letter discussing your situation and appealing to the seller's patriotic sentiment. It just might help.
Good luck
0 votes Thank Flag Link Fri Nov 23, 2012
It could be if there are other offers on the home you like. VA loans can take longer to process and cost the seller money. It's a sellers market now and they are picking offers that are more equitable for them. It's very frustrating for buyers out there right now. Find an agent that will work on the best strategy for you to get into a home as drama free as possible.
0 votes Thank Flag Link Thu Nov 22, 2012
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