Caller: In 1998, I was uh,careless and walked away from a property I could not sell. I purchased the home with my no money down VA loan. Can I purchase another home using my veteran benefits? This seems like a great time to buy another house....

Answer: Yes, BUT it depends on the amount of entitlement you have left, if any.

To determine the VA Home Loan Benefit we instructed Mr. Veteran to submit this form to the Regional Veteran Affairs Office requesting his Certificate of Eligibility. This certificate allowed us to determine any entitlement due to the veteran.

 

 



Upon return Mr. Veteran had a loss of $19,000 suffered by Veteran Affairs. The full entitlement is $36,000 so his remaining entitlement was $17,000. Since we are in a high cost area (the maximum VA loan limit in the Washington DC area is $768,750) we are able to add additional entitlement to the amount and calculate the maximum allowable home sales price.

Here is the formula:

 $768,750X 25% = $192,187 Maximum Guaranty

$192,187- $19,000= $173,187 Entitlement Available

$173,187 X 4 = $692,748 Maximum Loan Amount for no money down purchase

(I don't recommend trying this at home, just pick up the phone and call 703-497-3936)


Mr. Veteran had enough remaining entitlement to purchase another home in Port Potomac, a new condo subdivision in Woodbridge, VA,with no money down and seller paid closing costs.

Of course Mr. Veteran had to meet our other lender qualifications:

  • Qualifying income and debt ratios
  • 620 plus credit score
  • Three Years since time of foreclosure
  • Satisfactory Rental History

 

 

If this happened to you there is hope of purchasing another home with a no money down VA Home Loan... Call your Woodbridge, VA FHA/VA Lender at 703-497- 3936.
 
 

Visit www.mymilitarymortgage.com for more VA Loan tips that other lenders don't want you to know.
 
 
 
 
 
 
 
 
 
                                                                                                         
 
Summary this does not apply to all foreclosures and Veteran Loans. Every case is different. The Veteran Loan Limits have changed since the original date of this post.
 
 
 
 
 
 
 
 
 

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Learn more about FHA and VA Loans in Virginia and Maryland.

Contact Markita Aldridge- Woods at (703) 497-3936 or via email for custom tailored mortgage solutions.

 

 

www.queenofmortgages.com

Company ID #2925 Licensed by the Virginia State Corporation Commission and Maryland

 

14 Comments on I Foreclosed on a Home with My VA Loan...Can I Purchase Another Home Using My VA Benefits?

JUN
25
2010
144,483 Points 25 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Mariita,  And a nice reminder that things will improve and there can be new opportunities for people who have lost their homes.
10:35am • #1
1,945,746 Points 477 Featured Posts Localism Sponsor Attended Rain Camp Called Shot Master

The VA is far more forgiving of past foreclosures than other financing types. 

Good information for buyers. 
10:36am • #2
117,447 Points Called Shot Master

Great news that the VA isn't holding his former foreclosure against him.  Better news that he didn't completely let his credit go when it happened.
10:58am • #3

Killer post! I would have never guessed this was possible. Thank you for sharing. I love this community!
11:55am • #4
243,126 Points 22 Featured Posts Outside Blog Called Shot Master

This is great information to pass on to other veterans in similar situations! Thank you so much for sharing your information with the AR community!

Keep smiling,

Karen
12:42pm • #5
120,336 Points 9 Featured Posts Outside Blog Attended Rain Camp

@Debbie There is hope

@Lenn This is exactly why I love VA loans

@Anne, so true

@Eric thanks

@Karen please do pass it along. The AR Community is the best!
12:49pm • #6
154,608 Points 1 Featured Post Localism Sponsor Attended Rain Camp Called Shot Master

Markita, good information to know. I have not run across that situation before.
1:51pm • #7
146,660 Points 1 Featured Post Attended Rain Camp

Markita - thanks for the information. I work with veterans and its good to have ample information that's relative to their situation....great job. I'll leave the formulas to you!
2:43pm • #8
131,509 Points 15 Featured Posts

Markita -- Fantastic Post. Short, Sweet and to the point. Loved it!
3:43pm • #9
115,102 Points Called Shot Master

Thank you for a great post.
5:11pm • #10
1,307,880 Points 65 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Markita  I love your post - simple and atraightforward - easy for vets to understand
6:44pm • #11
JUN
26
2010
317,814 Points 11 Featured Posts Outside Blog

Hi Markia.  Chances are, this information will be great news for any relocating veterans who thought they could never afford a  home in the Northern Virginia or Prince William county area. Prices are low, rates are low and it is a great time to buy. Thanks for sharing this valuable information to Realtors and Military Veterans who just assume they cannot buy.
6:37am • #12
621,171 Points 11 Featured Posts Outside Blog Attended Rain Camp Called Shot Master

Markita this is great information for Veterans who didn't know about this. I was led to this blog from your Facebook page. Thanks for sharing. Have a great weekend. Great post.
6:41pm • #13
JUN
29
2010
2 Featured Posts

Markita Aldridge-Woods: "Your Woodbridge FHA/VA Lender" (WestStar Mortgage): I like the way you step through those calculations, Markita.  I like the way you ended your post even better...Don't try this at home, just call...

 

This will become a bigger deal whenever veterans return home from the war.  You have very keen insight to post this.
1:05am • #14

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Markita Woods Queen of Mortgages FHA, VA, Conventional, USDA Loans

Woodbridge, VA

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WestStar Mortgage NLMS#196099

Address: 3350 Commission Ct, Woodbridge, VA, 22192

Office Phone: (703) 497-3936

Cell Phone: (703) 929-2274

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Timely and relevant information about obtaining a mortgage, credit scores, FHA, VA, and VHDA financing in Woodbridge, Stafford, and surronding areas.


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