Harnett County | NC FHA Expert

One Works at Bragg – One in Wake County!

We are working with a couple looking for property that will allow the Veteran to commute to Fort Bragg (in Fayetteville, NC) and the spouse to work in Apex, NC (Wake County).

Since we’ve been making mortgage loans for many years in the Triangle, this is not the first couple we’ve met who decide to purchase a home in Harnett County or the Southern Most areas of Johnston or Wake County! It’s a “hot spot” for Veterans – and the homes are VERY affordable!

Lot prices in this area are also lower than in more populated sections of Raleigh, making new homes, custom built in this area very attractive right now!

The Veteran’s Administration does not make VA loans, just HUD does not issue FHA loans. The VA insures these loans. Here are the basic guidelines for qualifying for a VA loans:

Total Debt Ratios not to exceed 41 to 43% (depending on energy efficiency of home).
Credit needs to have a score, however the VA does not publish a guide on a minimum credit score. Most Investors want a score of at least 600 – although exceptions are certainly made. The VA is most interested in a 12 month history of “clean credit.” (click here for more details)
Must be a Veteran (to see if your service experience qualifies click here). If you are qualifying with another person’s income, they must also be a veteran, or a spouse. (more information about co-signors here)
We must verify employment, there are no stated income VA loan products.
You can receive a gift for closing costs, and/or the seller can pay for closing costs.

If you have other questions about VA home loans, please call us, we’d love to help you too!

Qualify for VA Mortgage Loan

There’s the WHITE HOUSE, and then there’s that white house, with the picket fence and the dog out back, and a couple of shade trees where you can string up a hammock.

If you’ve been in the Armed Services, and you’re looking for that special house – you have a TON of things working to your advantage!

You are eligable for a 100% loan with NO monthly PMI! The mortgage insurance companies have taken a beating with all of the foreclosures – and monthly PMI is running ridiculously high right now! (over $200 a month!)
Did I mention it’s a 100% loan??? We are in a RARE appreciating market here in the Triangle – and if you are planning on staying in your home for 3 or 4 years, you could be in a GREAT position to build some equity!
Interest Rates are STILL at their LOWEST point! Which makes homeownership more affordable than ever!
There are a TON of homes for sale- meaning you will probably get a very good “deal” on a home!!

Okay – to qualify for this mortgage loan here’s what you need!

You need decent credit. VA minimum credit score is unpublished. This means that you are either “accepted” through the computerized underwriting system – or you’re not. Most of the approvals we are getting make us believe that you need a score of AT LEAST 580 on each of the three bureaus. At the very lesat, the VA wants you to have 12 months of “clean credit.” If you don’t have that, or you have questions about how to increase your credit scores yourself – click here. (you do not need to pay someone!)

You need a job (or a source of income lasting at least 4 more years). Not just a job – but one we can verify the income on. If you are a fireman, and a painter – and you make decent income working as a painter, but don’t report all of that income to Uncle Sam – I can’t use all of that income to qualify you. It’s as simple as that.

If you are going to purchase a home with another person who is NOT a Veteran, you must be MARRIED. For more information on Co-Signors for VA mortgage loans, click here.

Your total debt is calculated a little differently for a VA mortgage loan. To calculate the MOST you can qualify for… add up the Principal, Interest Taxes and Insurance. ADD to that the “average” monthly Utility cost, any revolving debt you have with more than 3 months left to pay, any installment debt with more than 3 or 4 months left, and any child care expenses. That TOTAL NUMBER should not be more than 41% of you GROSS (before taxes) income on a monthly basis.

Example: PITI is $1020. Heating Bill will average $120. Credit Cards are paid in full each month, so zero. Car payment is $375, no children. Total monthly bills $1515.00. Your monthly BEFORE TAX income is $4000. You take $1515, divide that by $4000 and it’s 37.9. This number is well below the target number of 41, so you’re GOLDEN!

If you are a Veteran considering a home purchase in North Carolina – please call us! Steve and Eleanor Thorne, Corporate Investors Mortgage Group, Inc 919-649-5058