Sellers often cringe when they receive an offer using VA home loan financing. The general thought is that the VA condominum complex approval process is time-consuming, onerous, and difficult...
Nothing could be further from the truth.
All loan types, including FHA and conventional vet the condominium association's organizational documents, finances, and residency mix. In fact, the VA guidelines tend to be the least restrictive of all three loan types.
Three tips for real estate agents when presenting an offer, on an unapproved complex, with a VA mortgage:
1- Use a VA lender who has been through the VA approval process MANY times.
2-Review the required documents' checklist:
The document checklist is available in Chapter 16 of the VA Lenderâ€™s Handbook. Specifically, the table of required documents is available on page 16A.03. I suggest that the loan originator AND both real estate agents AND the escrow officer review this table as soon as an agreement of sale is executed. At first glance, the list appears to be ominous (lots of dead trees). Upon more careful scrutiny, it is plain to see that only 5-6 documents are required; the other 20 or so are only required IF AVAILABLE.
3- Consider the time saved by using an attorney's opinion letter:
The key component to the VA condominium complex approval is the Attorneyâ€™s Opinion Letter. Essentially, the VA relies on the expertise of an independent attorney to evaluate the condominium documents and offer an opinion as to whether or not those documents comply with the VA regulations. An attorney opinion letter is NOT a requirement for the submission package but attempting this without one is not recommended. While it adds another layer of cost to the approval process, the result is a greatly reduced examination time at the VA.
VA condo approvals are quite easy if you know what to do. Follow these three tips to guarantee a smooth transaction or contact me with any questions you might have.
Here is the list to check for approved VA complexes.
If the project you are looking is not on the list, the developer/owners can try to get the projcet approved via specialists (for a fee) in that area (I can provide a name if you need it). This is for San Diego county.
I do VA Condo approvals. If anyone interested please contact me at the below numbers.
7013 Foothill Boulevard
Tujunga, CA 91042
My name is Roubina and I specialize in getting condominiums VA approved. If you are interested please contact me at (818) 273-9078. I work for KESHISHYAN LAW, INC. my hours are 9:00 a.m. to 4:30 p.m. Monday thru Friday.
With the right seller, and the help of the right agents, it can happen!
If I may be of help to you in any way, please let me know.
"Advice You Need, Attention You Deserve"
800-680-9133 or 619-507-2100
There is a VA website but it is very hard to navigate and many complexes are listed incorrectly on it. The only safe way is to again work with someone in the know.
VA is a great loan so just be persistent. Hopefully the inventory will loosen up a bit and the Sellers will be more anxious to put deals together. There are many more foreclosures going through the process right now headed for the open market.