There is a lot of misinformation surrounding a Veterans Affairs (VA) home loan. Often times, Veterans are unnecessarily convinced to use another loan option, primarily due to lack of new information surrounding VA Guaranty Loans. One of the largest VA Myths is the unusually long processing time of a VA Home Loan.
Recently, the Military Mortgage Bootcamp was held in Novi, MI. This two-day event cleared up a ton is misinformation and longstanding myths surrounding VA Guaranty Loans. A huge factor for the relatively low number of Veterans using a VA Loan are bad experiences Realtors & Lenders have faced with previous VA loans. After listening to these issues for many years, the VA has stepped up and improved the overall process for a Veteran.
Now, the average closing time for a VA Loan is 26-days: according to the Department of Veteran Affairs. Lenders are given automatic Underwriting Authority – removing the need to clear the loan through the VA. This has been a huge milestone and improvement to the overall process. In the VA Pamphlet; 26-7 Lenders Handbook: “Underwriters are encouraged to consider every possible appropriate factor in seeking a proper basis for approving loan applications for every qualified veteran.” As long as lenders document their reasoning, it is extremely unlikely the VA Staff would ever take issue with their decisions.
Another step to expedite the process is the appraisal process. The VA is rewarding appraisals for on-time appraisals and in large part contributing additional funds to the VA appraisals. Once an Appraiser is certified to work on a VA Appraisal, he/she is paid more than a traditional or other non-conventional loan appraisals. These corrective steps have improved the Veterans closing experience and made VA home loans readily available for our veteran and active duty community.
With ease of underwriting, minimal overlays from a lender as well as faster appraisals, a VA loan is the BEST option for any veteran. A good realtor and loan officer will guide you through the process and ensure you are always two-steps a head for an on-time closing!
To learn more about me and my team, visit our website, www.lakeliferealestate.com