Selling with a VA Assumable Loan
VA loans are assumable.
If you own a home that you purchased with a VA loan when interest rates were closer to 3.0%, then you could use this as a selling incentive.
The purchaser, who would assume the loan, does not need to be a veteran.
The purchaser would still need to qualify to the lender's requirements regarding credit, income, and debt.
The purchaser would need to pay a 0.5% VA funding fee.
If you go this route, then you should make certain that you are not responsible for the loan if the new borrower defaults.
When the purchaser is not a veteran, then the VA loan entitlement will remain with the property and you will not be able to use it for another home.
When the purchaser is a veteran, then the VA loan entitlement of that veteran can be substituted for your VA loan entitlement, which would free yours up for another purchase.
It would be best if you talked with your lender to determine all of the specifics that would be necessary to use this option.
Contact Ron Trzcinski of Sachs Realty at 410-935-5844 for more information.
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