About VA Loans
When buying or refinancing a home, there are many benefits for those eligible for a VA home loan. Typically, these include more lenient qualifications for loan approval, lower interest rates, no required down-payment, and no required private mortgage insurance.
If you have a client that is serving or has served in the military and is looking to purchase or refinance a home, the VA home loan is an incredible benefit that should be considered. Contact a Mutual of Omaha Mortgage Wholesale Account Manager to determine VA eligibility or give us a call at 1-844-499-1173.
VA Loan Features
- 0% down payment
- FICO requirements:
- 620 – Approved AUS Findings
- 619-580 – Considered with compensating factors
- 620 – Manual UW (considered with compensating factors)
- Manual UW's not allowed
- Max 90% LTV on Cash Out Refi's
- No monthly mortgage insurance required.*
*Note: While there is no monthly mortgage insurance requirement, there is typically a VA funding fee.
- Minimum of two investors required for all loans. When only two investors are available the pricing for each investor must be within 50 bps of each other. For example, one cannot be priced at 100 and the other at 98.25 if those are the only two available investors.
- Minimum Property rating of C4 or better. Properties rated as a C5 are not acceptable.
- Loans with LTV’s greater than 80% require escrows unless not applicable by state law
- Paying off loans in Chapter 13 NOT ALLOWED Extenuating circumstances not allowed/considered
- POAs not allowed on cash out refis
- Single-Wide manufactured homes not allowed
- Manufactured homes in flood zone not allowed
- 1040s: Required when using any income specifically on 1040 (self-employed, cap gains, rental, etc).
- W-2 transcripts required unless income validated through Work # WVOE
- Required on all government loans
- Use of WVOE in lieu of pay stub only allowed if income is validated through W-2s or transcripts (some sort of validation of income apart from WVOE is required)
- Maximum loans made to one borrower the lesser of 6 loans or $2,000,000 in total exposure
- If buying multiple investment properties borrower must demonstrate a history of managing rental properties
- Maximum acreage of 50 acres
- Non-Owner loans (second homes or investment properties) where borrower does not own primary residence are not allowed