VA Loan Co-Signors

In the case of divorce, the Veterans Administration has several choices. If a non-eligable spouse continues to occupy the property and if the payments are made in a timely fashion, no change to the loan will be made. In this case, the military spouse will have their eligability for a mortgage re-instated once the loan is paid off and/or refinanced out of a VA loan. If payments are missed, and the property is approaching foreclosure, the VA might choose to refund the loan and have the payments made directly to the Veteran’s Administration.

Va Loans and Co-Borrowers

In practical terms it means that if you are not married – and the other borrower is NOT a veteran, you will not be able to borrow the maximum allowable VA loan of $417,000. Again two unmarried military members are able to co-sign on a VA loan with full benefits. When a military member or veteran wants to bring an unrelated, non-military cosigner, the VA allows this with one major exception.

The VA mortgage loan guarantee is limited to the amount of the veteran’s interest in the property.

VA Loans Left Out

The Congress and the Fed and Secretary Paulson all worked miracles to get a stimulus package passed in record time… they forgot one little thing, VETERANS!
Washington Report: VA Loans for Veterans Overlooked

On Capitol Hill, it’s known as the biggest goof-up relating to housing in years: Working with the White House, Congress passed a bipartisan [...]