First Time home buyer | Orange County, California VA Loans

How to Buy a Home in Orange County with $0 Out Pocket with a VA Loan

February 7, 2010 by Tim Storm

It is possible to purchase a property in Orange County with no money out of pocket if your eligible for a VA loan. Commonly referred to as a VA NO NO, with a little negotiating, it can be done.

What is a VA NO NO?

VA refers to the Veterans Administration, which offers 100% financing for eligible veterans and active duty military personnel. The first “NO” refers to the fact that no down payment is required on a VA loan up to the loan limits for each region. In Orange County, the VA loan Limit for 100% financing is $593,750. The second “NO” refers to negotiating to have the seller pay all the Veterans closing costs. Closing costs, depending on the purchase price, can easily be between 2% and 3% of the purchase price. During the offer/counteroffer stage of a transaction, the buyer needs to negotiate to have the seller pay the estimated amount needed to close and the Veteran can end up purchasing a home with no money out of pocket.

$8,000 First Time Buyer Tax Credit

If an Orange County VA eligible First Time Home Buyer plays their cards right, they can purchase a home with no out of pocket funds and the government will pay you $8,000 to do it. To qualify for the Tax Credit, a property must be in contract by April 30, 2010, and then escrow closed by June 30, 2010. The tax credit is equal to 10% of the purchase price, or $8,000, which ever is less. In Orange County, home buyers would be hard pressed to find a property for less than $80,000, so 99% of Orange County First Time Home Buyers should get the full amount.

The first thing to do is check with an Orange County VA Expert Loan Officer who can put together multiple loan scenarios based on your goals and qualifications. Orange County VA loan PreApproval is very important, especially prior to making an offer.

Authored by Tim Storm, an Orange County, CA Loan Officer MLO 223456– Please contact my office at Emery Financial Group for more information about an Orange County, CA home loan. 877-786-4243 x 7.

www.OCFHALoans.com

Call our office today and see how we can help you and your family. Ask for your Free First Time Home Buyer Report.

877.786.4243 x 7 | tstorm (at) ochomebuyerloans.com

Filed Under: VA Purchase Loans Tagged With: california, first time buyer tax credit, First Time home buyer, Orange County, santa ana, Tustin, VA Loan, VA Loans, VA Mortgage

Orange County, CA VA Loans | Can’t Find Your DD214? Here’s How to Get it.

September 5, 2009 by Tim Storm

It is important for Orange County, CA Veterans who are looking to take advantage of the VA loan programs 100% financing option first get their Certificate of Eligibility. But how do they do that? First, you must be able to provide your DD214- Report of Separation.

What if an Orange County, CA VA Loan Borrower has lost their DD214?

If you cannot find your DD214 (because you put it in a very safe place?), there is an easy way to get a new copy. You could go to a local VA office, but the best and easiest thing to do is go to Archives.Gov/Veterans/Evetrecs. Veterans will be able to request a copy online. This service is even available to next of kin of deceased military members.

I have my DD214. Now What Do I do to Get my Certificate of Eligibility?

The easiest way to get your Certificate of Eligibility is to go to an Orange County, CA Direct VA Lender who has access to the Veterans Information Portal (VIP), that only an approved VA lender can access. Your lender will be able to get the COE with minutes. (That’s why this is the easiest way to do it.) Also, using the a lender to get your COE does not mean you are forced to used that lender. You are still able to go to another lender at any time. If the lender is not able to get the COE online, then the Veteran will need to complete Request for a Certificate of Eligibility Form (form 26-1880), which the lender can provide. Also, the Veteran will need to provide their DD214 as disucssed above. Current Active Duty Service Members will need to provide a Statement of Service from their commanding officer. With this informtion the lender will be able to request the Certificate of Eligibility through a slightly different process on the VIP portal.

The alternative is the Veteran can request their COE by regular mail by sending the 26-1880 and DD214 to: VA Eligibility Center, P.O. Box 20729, Winston-Salem, NC 27120.

Once the Veteran has their COE, they are ready to begin the home search process. There has not been a better time in many years to buy a home in Orange County. Orange County First Time Home Buyers who are taking advantage of the FHA and VA loan programs are finding out quickly that they are able to buy a home and have a very reasonable payment as compared to what they could get for the same rental payment. The VA loan limits in Orange County, CA are higher than ever before at $737,500 for 100% financing. (Orange County, CA FHA loan limits are also very higher at $727,750) The most important thing an Orange County, CA home buyer can do is get PreApproved for a mortgage before making an offer on a home.

www.OCFHALoans.com

Call our office today and see how we can help you and your family. Ask for your Free First Time Home Buyer Report.

877.786.4243 x 7 | tstorm (at) ochomebuyerloans.com

Filed Under: VA Purchase Loans, VA Refinance Loans Tagged With: california, first time buyer, First Time home buyer, Orange County, santa ana, tim Storm, Tustin, VA Loan, VA Loans, VA Mortgage

VA Loan Limits for Orange County, CA and Surrounding Southern California Counties

September 2, 2009 by Tim Storm

The VA Mortgage loan limit in Orange County, CA for $0 down payment financing is $737,500 for 2009. This is as high as the limit has ever been. Technically, VA guaranteed loans do not have a maximum limit, but lenders who sell their loans in the secondary market need to limit the size of the loans as prescribed by Ginnie Mae. Not all lenders will even go this high, with many cutting it off at $417,000, but there are lenders that will exceed the $417,000 limit. Below are the limits for southern California counties.

These limits are for loans that close between January 1, 2009 and December 31, 2009. These limits are available to Veterans who have never used their VA Entitlement before, or their full entitlement has been restored. If the full entitlement has not been restored then the full loan amount will not be available. The first thing an Orange County, CA Veteran should do to determine the amount they are eligible for is contact an Orange County Direct VA Lender.

What if an Orange County, CA VA Home Buyer Purchase a Home for More Than $737,500?

The table below shows the $0 down VA loan limit for each county and also shows the actual VA loan limit for each county. For example, if an Orange County, CA Veteran purchases a home for $$837,500, or $100,000 above the $0 down limit, then the Veteran would need to come in with a $25,000 down payment, or 25% of the difference between the purchase price and the $0 down limit.

County Name	Single Family Home ($0 DOWN AND UP TO)	Max Guaranty

LOS ANGELES	$737,500	$1,000,000

ORANGE	$737,500	$1,000,000

RIVERSIDE	$417,000	$1,000,000

SAN BERNARDINO	$417,000	$1,000,000

SAN DIEGO	$593,750	$1,000,000

SANTA BARBARA	$656,250	$1,000,000

VENTURA	$650,000	$1,000,000

***The 2010 VA loan limits for Orange County and the rest of Southern California were announced in early December 2009.

Authored by Tim Storm, an Orange County, CA Loan Officer MLO 223456– Please contact my office at Alpine Mortgage Planning for more information about an Orange County, CA home loan. 877-786-4243 x 7.

www.OCFHALoans.com

Call our office today and see how we can help you and your family. Ask for your Free First Time Home Buyer Report.

877.786.4243 x 7 | tstorm (at) ochomebuyerloans.com

* Alpine Mortgage Planning is licensed and supervised by the Department of Corporations under the California Residential Mortgage Lending Act. NMLS 81395.

Filed Under: VA Purchase Loans, VA Refinance Loans Tagged With: california, first time buyer, First Time home buyer, Orange County, santa ana, tim Storm, Tustin, VA Loan, VA Loans, VA Mortgage

VA Loans in Orange County, CA | The VA Loan Process

September 2, 2009 by Tim Storm

The loan process for a VA loan is fairly similar to the process for an FHA Loan or Conventional Fannie Mae or Freddie Mac loan, especially now that we’re back in a “Full Documentation” world. There are a few nuances associated with getting a VA loan, but with a little know how, the loan process will be fairly easy.

VA is a great program because it is just about the only 100% financing program available. The Orange County, CA VA loan limits are very high. A VA eligible home buyer in Orange County can purchase a home for $737,500 with $0 down payment! FHA is the closest competing loan type. The maximum FHA loan in Orange County, CA is $729,750 and requires a 3.5% down payment. For those that are eligible, VA does have advantages over the FHA program.

Orange County, CA Veterans Need to Determine Eligibility

The first thing a Veteran needs to do is determine eligibility. If you have a DD214 (Discharge papers) then an Orange County VA Direct Lender can quickly (in minutes) get your Certificate of Eligibility. Once you have the Certificate of Eligibility, it is time to get PreApproved for a VA loan.

Orange County Veterans Need to Get PreApproved for a VA Loan Prior to House Shopping

Mortgage PreApproval should happen before the home search begins. If you begin the search before knowing what you qualify for, the search can become discouraging if it turns out you are looking in the wrong price range. By getting PreApproved first, you will know ahead of time what home price range you should be looking in. It quite often turns out that a new home buyers qualifies for a higher price or payment than they are comfortable with. Finding this out first is very important. During the PreApproval process the lender will prepare several loan scenarios based on your goals. A loan application is completed, credit is run, and an Automated Loan Approval (hopefully) is issued. The underwriter also will need to review the following items.

Paystubs for the most recent 30 days
2007 and 2008 (most recent 2 years) tax returns, all schedules.
2007 and 2008 (most recent 2 years) W2’s or 1099’s.
Bank statements for the most recent 2 months, all pages.
Also, include investment and retirement acconts covering the most recent 2 months.
Copies of drivers license and social security card.
Explanation letter for any derog’s and inquiries on the credit report.

Once the Veteran is PreApproved, it is time to find a home and make an offer. Working with a good Orange County Realtor is important. Not all Realtors are created equal, and not all actually work with buyers. Finding a Home Buyer Specialist is important.

Getting an Offer Accepted on an Orange County Home has not Been Easy in 2009!

Once an offer has been accepted, the race is on. Most escrows are between 30 and 60 days. Since the lender has already PreApproved the Veteran, it is just a matter of updating a few paystubs and bank statments. The appraisal is ordered by the lender, and verifications of employment are performed. Also, the lender will receive the escrow instructions and preliminary title report. Once the appraisal is prepared, which can take between 1 and 2 weeks, the loan is submitted to the underwriter for the Full Underwritten approval.

Provided there were no problems with the title report or appraisal, an Approval should be issued within a few days. Typically there will be a few Prior to Loan Document conditions. These conditions need to be cleared before loan documents are prepsared and forwarded to escrow. Once the Prior to Doc conditions are signed off, loan documents are prepared and emailed to the escrow company. This is typically done within 48 hours of the signoff. At this point the Veteran is called by the escrow company to set a time to sign the loan documents. (The Veteran should bring a well rested signing hand, because there will be many signautures.)

Once loan documents have been signed, they are returned to the lender for funding. The typical turnaround time from funding is anywhere from 1 to 3 days. It can sometimes take a little longer if there are any funding conditions that need to be met. Once the lender has funded the loan, the title company will handle getting the Deed of Trust recorded at the Orange County Recorders Office. This is usually done on the day of the funding, depending on how late in the day the funding occurred. The whole process, from the start of escrow to the closing, can be done in 30 days if everything moves smoothly.

The Orange County, CA VA Home Buyer is Ready to Move in!

Once recorded, the new Orange County, CA VA Home Buyer can get the keys and move in, unless the purchase contract allowed extra days for the seller to move out.

That is the way to process is supposed to go. There are always roadblocks along the way that need to be navigated. This is why it is important to make sure you are working with lenders and Realtors who have experience with the VA loan program.

www.OCFHALoans.com

Call our office today and see how we can help you and your family. Ask for your Free First Time Home Buyer Report.

877.786.4243 x 7 | tstorm (at) ochomebuyerloans.com

Filed Under: VA Purchase Loans Tagged With: california, first time buyer, First Time home buyer, Orange County, santa ana, tim Storm, VA Loan, VA Loans, VA Mortgage

Buy a Home In Orange County for $0 Down with a VA Loan

August 11, 2009 by Tim Storm

Orange County home buyers, both First Time home buyers and move-up home buyers, are finding out quickly that the days of 100% financing are in the past. However, there is still a program available that will allow for 100% financing. The catch is you need to be a Veteran.

Orange County VA Loan Limit for 2009

Most areas of California have a loan limit of $417,000 for 100% financing. Veterans are allowed to go with a higher loan amount, but a down payment is required. However, Orange County is considered a “high cost” county. VA eligible home buyers can purchase a home for $737,500 with $0 down payment. The limit is the same in Los Angeles. In San Diego the 100% financing limit is $593,750, while in San Bernardino/Riverside the limit is $417,000.

What is the VA NO NO?

Commonly referred to as the VA NO NO, this refers to when the VA homebuyer negotiates to have the seller pay all of the closing costs, including originations fees, title, escrow, recording, insurance, taxes, and interest. The VA buyer can literally buy a home with ZERO money out of pocket.

First time buyers can even get paid to buy a home if they are able to take advantage of the $8,000 Federal Tax Credit for First Time home Buyers. Anyone who hasn’t owned a home during the last three years is considered a First Time Buyer. There are certain limitations, especially in regards to income limitations (or maximums). This program is scheduled to end November 30, 2009, so anyone who is planning to take advantage if the tax credit needs to act quickly.

Where Does an Orange County Veteran go for a VA Loan?

You just need to find an Orange County VA Lender. It helps if they have the ability to actually fund the loan rather than just originate the loan and “broker” to another company for funding. You will also want to find a loan officer who is an Expert in VA Financing and can explain the benefits, as well as give accurate estimates of the payment and closing costs associated with a VA loan.

Orange County Borrowers are Taking Advantage of the IRRRL?

One of the best things about a VA loan is the VA Streamline Refinance program, also know as the IRRRL, or Interest Rate Reduction Refinance Loan. This program allows current VA borrowers to lower their interest rate with very little hassle.

www.OCFHALoans.com

Call our office today and see how we can help you and your family. Ask for your Free First Time Home Buyer Report.

877.786.4243 x 7 | tstorm (at) ochomebuyerloans.com

Filed Under: VA Purchase Loans Tagged With: First Time home buyer, Irvine, Orange County, tim Storm, Tustin, VA Loan, VA Mortgage