Where are my mortgage guys at?

**CivilWars** · 08-05-13, 05:53 PM

Who did you email, the VA, or a mortgage broker? If it is a broker then they get paid a commission for writing your loan. If that broker is too busy/lazy to respond then find another who has the time.

**deathgodusmc** · 08-06-13, 06:23 PM

Originally Posted by CivilWars

Who did you email, the VA, or a mortgage broker? If it is a broker then they get paid a commission for writing your loan. If that broker is too busy/lazy to respond then find another who has the time.

The real estate agent that represents the property.

**CivilWars** · 08-06-13, 07:15 PM

Oh, yeah, not much you can do there I guess.

**Hocus Pocus** · 08-06-13, 08:04 PM

Hmm so you're trying to get someone to finance the land and a modular? I've never seen a va loan for land and a modular, but I suppose it could exist. We typically lend at 85% loan to value on residential construction loans. VA loans are more flexible and I think go up to 92% loan to value. Basically assuming the land appraises at cost of $100k and you get a modular home for say $60k total loan to cost is $160k. The bank will lend only 85% the conventional way or 92% va loan. You'll need to come up with 15% or 8% as a down payment.

Again though I've never seen a va that way. What we normally see is a person asking for a construction loan , already has the lot financed and has enough equity in the lot to qualify for a construction loan. These are pitched by brokers and they usually charge a half percent an the bank will charge half percent. At the end of construction the broker will "take out" the note from the bank (payoff) and sell it to the secondary market (investors).

Yours differs because you're building the home yourself. I'm not sure I'd go through a broker yet because they'll charge you a fee to flip your loan to a bank and I'm not certain you'll get a takeout. The takeout is what gets you a competitive rate and if you don't get it you be stuck at the banks interest rate which is typically higher.

Talk to the va office first then a broker, then a bank.

**Hocus Pocus** · 08-06-13, 08:07 PM

Also make sure your debt to income is okay. If you're above 42% conventional you'll have trouble on the secondary. I think the va loan allows a 52% debt to income but I could be wrong.

**deathgodusmc** · 08-06-13, 08:15 PM

VA is no down payment required but that isnt an issue and i have 0 debt. Apparently they would prefer 30% of my income being forced somewhere else then my pocket though. Thanks for the input Hocus.

**Hocus Pocus** · 08-06-13, 08:18 PM

Originally Posted by deathgodusmc

VA is no down payment required but that isnt an issue and i have 0 debt. Apparently they would prefer 30% of my income being forced somewhere else then my pocket though. Thanks for the input Hocus.

Cool, never heard 0%, best I've seen from a va is 3%. Still damn good. I'd love to live on acreage and have no neighbors. If you throw some livestock on their you can have ah exemptions and skimp out on property taxes

**deathgodusmc** · 08-06-13, 08:38 PM

Originally Posted by Hocus Pocus

Cool, never heard 0%, best I've seen from a va is 3%. Still damn good. I'd love to live on acreage and have no neighbors. If you throw some livestock on their you can have ah exemptions and skimp out on property taxes

Really? I can buy a few sheep for lawn mowers and if xav ever visits.