Sometimes though the dream turns a little bit scary for some and eventually a nightmare when their VA loan application is turned down. What should someone do if their VA loan application is in fact denied?
> Get the Facts
* When lenders decline a loan, they do so reluctantly. VA lenders make money by approving loans, not denying them so they'll do what they can to get your approval. When they can't, they'll send what is called an Adverse Action notice.
Click for more: http://vastreamlinemortgage.net/
Every year there are many veterans who use the VA Home Loan Guarantee Program to purchase a home. With this program qualified veterans can get a mortgage loan through a VA-approved lender. Some qualified veterans can obtain this loan with no down payment, low closing costs, fewer fees or a lower monthly payment than if they went to a traditional lender.
The key to purchasing a home through the VA Home Loan Guarantee Program is to get pre-approved for the program first so that you know you are eligible and exactly how much of a home you can afford.
More on the VA Loan Pre-Approval Process:
The process of getting pre-approved for a VA home loan includes:
* We help you get a Certificate of Eligibility. Before you do anything else we need to make sure that you are eligible for the VA Home Loan Guarantee Program. The Automated Certificate of Eligibility (ACE) is available on-line and your VA approved lender can get it for you within minutes. You will need to give them your service record information so make sure to contact them and see exactly what they need from you to proceed.
* Once you have a Certificate of Eligibility, you can apply for the VA Home Loan Guarantee Program. You will need to speak with our Specialists about your income, employment, debt, monthly expenses, taxes, and other personal information. If your spouse is applying for the loan with you, he or she will need to give all of their information also.
* We will help get you a pre-approval letter if you qualify for a loan. If you are eligible for a VA home loan then we will give you a pre-approval letter that shows how much of a loan you are eligible to receive so that you know the price range of homes you should begin searching in.
Getting a pre-approval for a VA Home Loan Guarantee is good for you and for the house hunting process. It helps the veteran know that they can get a home loan and for how much. It also shows real estate agents and sellers that you are serious about purchasing a home now and you can afford the price range you are searching in.
Reference Link: http://valoanguidelines.org/
Ask him for the specifics of the denial.
Is the monthly payment too high? Is it your credit score? Is it some other issue?
Then, what is the fix?
Make sure that this is an experienced loan officer.
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I would select a couple of more different lenders and see what they say. Also trying to "trick" the computer is one way of trying to pre-approved again but this all depends how savy your lender is.
If any questions give me a call and I'll be more than happy to work with you.
Brian Young 214-797-3479
Without knowing more details of your situation i can't answer but i would love to speak to you about this. If it is a lender that is not familiar with VA loans they might not know how to get them approved. I specialize in VA loans and could help answer your questions