KEY TAKEAWAYS<\/h3>\n- If your house has a <\/span>VA purchase loan<\/span><\/a> attached to it, you\u2019re still welcome to sell it at any time.<\/span><\/li>\n
- The VA home loan rules on selling require you to use a specific VA loan appraiser if you decide to sell your house.<\/span><\/li>\n
- You should try to recover enough money to pay off the balance of the loan, as you might run into some challenges if you want to complete a short sale.<\/span><\/li>\n<\/ul>\n<\/div>\n
VA Home Loan Rules on Selling<\/h2>\n
When it comes to VA-guaranteed mortgages, there\u2019s no need to worry about how long you have to stay in the home before selling. And with no prepayment penalties attached, you can go ahead and list the house whenever it feels right.<\/p>\n
![\"Graphic](\"https:\/\/griffinfunding.com\/wp-content\/uploads\/2023\/06\/image2-9.png\")
<\/p>\n
However, there are some other rules that you should be aware of\u2013particularly those concerning Minimum Property Requirements (MPR).<\/p>\n
Find out if you qualify for a VA loan with Griffin Funding.<\/h3>Get Started<\/a><\/div><\/span><\/p>\nMeet Minimum Property Requirements<\/h3>\n
The US Department of Veterans Affairs sets out <\/span>minimum property requirements<\/span><\/a> (MPRs)<\/span> in order to guarantee a property\u2019s safety, soundness, and sanitation. <\/span>Here\u2019s a brief summary of some of the MPRs a property must meet to be eligible for VA mortgage financing:<\/span><\/p>\n\n- Space Requirements:<\/b> Every home must have adequate living space, sleeping areas, cooking, and dining areas. They also need to have enough bathrooms for everyone in the home.<\/li>\n
- Access And Encroachments:<\/b> The property should be accessible via public roads or an HOA-managed private street that has a permanent easement.<\/li>\n
- Hazards: <\/b>The home has to be free from potential hazards, such as lead, asbestos, and radon gas contamination.<\/li>\n
- Water Supply, Sanitary Facilities, And Sewage Disposal: <\/b>There should be consistent access to clean, potable drinking water, safe plumbing, and proper sewage drainage.<\/li>\n
- Utilities: <\/b>The house must have proper access to an HVAC system, electricity, and gas that are both safe and reliable. There has to be a reliable source of heat during the winter as well.<\/li>\n
- Home Structure Matters: <\/b>The roof must still have at least three years of life left on it. Not only should your roof be resilient enough against moisture, but it should also be free from any immediate maintenance needs. The house must also be free from mold and mildew, which can be found anywhere but are frequently found in basements and crawl areas.<\/li>\n
- Pest Control & Deterioration Checkup: <\/b>The inspection team will also look for any potential deterioration due to termites or pests. This includes dry rot, which could lead to major structural issues within the home if not taken care of quickly.<\/li>\n<\/ul>\n
This is just a brief overview of some of the minimum property requirements that have to be met before the house can be sold.<\/p>\n
You may want to work with an expert who can help you identify and address these issues before you put your house on the market, as you do not want them to impact any potential sale that might be pending.<\/p>\n
Pass VA Appraisal<\/h3>\n
A VA appraisal assesses the fair market value of your home and gives lenders an idea of how much collateral they have should something go wrong down the line. But there’s more than just money at stake; appraisers also make sure that all safety, sanitation, and property standards are met so that veterans won’t be put in harm’s way.<\/p>\n
![\"Close](\"https:\/\/griffinfunding.com\/wp-content\/uploads\/2023\/06\/image3-5.jpg\")
<\/p>\n
The VA appraiser will take a look at many of the factors listed above, but they also focus on the overall value of your house compared to<\/span> the potential loan amount.<\/span><\/p>\nKeep in mind that <\/span>a VA appraiser is not a home inspector<\/span><\/a>. <\/span>A home inspection is likely to be more thorough and<\/span> will take a close look at any construction flaws or issues beyond minimum property requirements. A VA appraiser, on the other hand, only looks at the value of the home and ensures it is compliant with minimum property requirements.
\n<\/span><\/p>\nNon-Allowable Fees and Concessions<\/span><\/h3>\nIf you\u2019re selling your home with a VA loan, you should be mindful that the VA mortgage program places limits on how much a borrower can pay in fees and concessions. In particular, there are certain mortgage fees that the VA won\u2019t allow the borrower to pay for, such as:<\/span><\/p>\n\n- Application fees<\/span><\/li>\n
- Attorney fees<\/span><\/li>\n
- Broker fees<\/span><\/li>\n
- Rate lock fees<\/span><\/li>\n
- Escrow fees<\/span><\/li>\n
- Real estate agent fees<\/span><\/li>\n
- Appraisals or inspection ordered by the lender or seller<\/span><\/li>\n<\/ul>\n
If any of these fees are required as part of the transaction, they will have to be paid by either the seller or the lender. Additionally, the VA dictates that sellers can only pay up to 4% of the property\u2019s value in concessions.\u00a0\u00a0<\/span><\/p>\nVA Funding Fee<\/span><\/h3>\nThe <\/span>VA funding fee<\/span><\/a> is one of the most significant <\/span>VA loan closing costs<\/span><\/a>. While this fee is typically paid by the buyer, the responsibility of paying can fall on the seller if negotiated. In any case, someone will be required to pay the VA funding fee unless the borrower <\/span>qualifies for an exemption<\/span><\/a>.\u00a0<\/span><\/p>\nDownload the Griffin Gold app today!<\/h3>
Take charge of your financial wellness and achieve your homeownership goals
\r\nUse invitation code: GRIFGOLD<\/b> to register.<\/p>![](\"https:\/\/griffinfunding.com\/wp-content\/uploads\/2024\/02\/apple-icon.svg\")
<\/a>![](\"https:\/\/griffinfunding.com\/wp-content\/uploads\/2024\/02\/google-store.svg\")
<\/a><\/div><\/div>\nOther Things to Know When Selling with a VA Home Loan<\/h2>\n
For veterans and service members, the VA entitlement<\/a> offers a financial guarantee from the Department of Veterans Affairs that promises to cover part of your mortgage if you ever default on it. Your VA entitlement amount is determined by your specific situation and eligibility requirements.<\/p>\nIf you\u2019re applying for a VA loan benefit for the first time, then you may be eligible to borrow up to your full entitlement without a down payment required.<\/p>\n
However, if you have already used this benefit in the past and now need another one, there may not be much of your original allotment left. In these cases, borrowers must apply for an increase or restoration of their entitlement<\/a> before they can get approved again.<\/p>\nRe-Establishing Your VA Entitlement<\/h3>\n
If you\u2019re a veteran and your entitlement is running low, don’t worry \u2014 <\/span>it’s possible to restore what you had before. Here are three steps that can help get the job done:<\/p>\n\n- Sell Your Original Property & Repay Your Current VA Loan: <\/b>You can sell the original property and pay back any outstanding balance on your current VA loan in full. This will give you a fresh slate for restoring your entitlement.<\/li>\n
- Invoke Qualifying Veteran Assumption:<\/b> If another qualified Veteran wants to assume your existing loan and substitute their entitlement for yours, this could be an ideal solution for both of you. However, make sure all qualifications are met beforehand so there aren\u2019t any surprises down the road.<\/li>\n
- Refinance Into Non-VA Product & Use \u201cOne-Time Restoration of Entitlement”: <\/b>You could also refinance your existing loan into a loan package that is non-VA related while also invoking “one-time restoration of entitlement.” An expert can help you make this process happen.<\/li>\n<\/ol>\n
The easiest option is to sell your existing home, pay off your mortgage, and restore your entitlement that way. We can work with you to make this happen.<\/p>\n
Wait Time for Selling a Home with a VA Loan<\/h3>\n
If you want to sell your house with a VA loan, there is no required amount of time that you have to wait. You are welcome to sell your house whenever you want, but it is generally a good idea to make sure you can make enough money from the sale to pay off the remaining balance of your mortgage.<\/p>\n
![\"Graphic](\"https:\/\/griffinfunding.com\/wp-content\/uploads\/2023\/06\/image1-4.png\")
<\/p>\n
What Is the Process of Selling a Home to a VA Loan Buyer?<\/h2>\n
If you have a VA loan and you would like to sell your house, the process of selling it is generally the same as it is with a conventional mortgage, aside from the VA home loan requirements for sellers that we covered above.<\/p>\n
You need to take a look at the local market to figure out how much your house is worth. Then, you need to put your house up for sale and wait for offers to come in.<\/p>\n
It\u2019s generally a good idea to work with a real estate agent who can help you review your offers and make sure you select the best one for your specific financial situation.<\/p>\n
Streamline the Process of Selling a Home With a VA Loan<\/b><\/h2>\n
Are you thinking about selling your house? Do you still have a VA loan attached to it? If so, <\/span>consider working with an experienced VA lender that can help guide you through the process<\/span>. At Griffin Funding, we pride ourselves on our extensive knowledge of VA home loans, and it would be our pleasure to work with you to help take the next step in buying a new home once you sell.<\/span><\/p>\nRequest a quote online<\/span><\/a> or contact us today at 855-698-1230 to speak to a loan specialist who can help you get <\/span>approved for a home loan<\/span><\/a>. We make home-buying for veterans the best experience poss<\/span>ible.<\/span><\/p>\n
VA Home Loan Rules on Selling<\/h2>\n
When it comes to VA-guaranteed mortgages, there\u2019s no need to worry about how long you have to stay in the home before selling. And with no prepayment penalties attached, you can go ahead and list the house whenever it feels right.<\/p>\n
<\/p>\n
However, there are some other rules that you should be aware of\u2013particularly those concerning Minimum Property Requirements (MPR).<\/p>\n
The US Department of Veterans Affairs sets out <\/span>minimum property requirements<\/span><\/a> (MPRs)<\/span> in order to guarantee a property\u2019s safety, soundness, and sanitation. <\/span>Here\u2019s a brief summary of some of the MPRs a property must meet to be eligible for VA mortgage financing:<\/span><\/p>\n This is just a brief overview of some of the minimum property requirements that have to be met before the house can be sold.<\/p>\n You may want to work with an expert who can help you identify and address these issues before you put your house on the market, as you do not want them to impact any potential sale that might be pending.<\/p>\n A VA appraisal assesses the fair market value of your home and gives lenders an idea of how much collateral they have should something go wrong down the line. But there’s more than just money at stake; appraisers also make sure that all safety, sanitation, and property standards are met so that veterans won’t be put in harm’s way.<\/p>\n The VA appraiser will take a look at many of the factors listed above, but they also focus on the overall value of your house compared to<\/span> the potential loan amount.<\/span><\/p>\n Keep in mind that <\/span>a VA appraiser is not a home inspector<\/span><\/a>. <\/span>A home inspection is likely to be more thorough and<\/span> will take a close look at any construction flaws or issues beyond minimum property requirements. A VA appraiser, on the other hand, only looks at the value of the home and ensures it is compliant with minimum property requirements. If you\u2019re selling your home with a VA loan, you should be mindful that the VA mortgage program places limits on how much a borrower can pay in fees and concessions. In particular, there are certain mortgage fees that the VA won\u2019t allow the borrower to pay for, such as:<\/span><\/p>\n If any of these fees are required as part of the transaction, they will have to be paid by either the seller or the lender. Additionally, the VA dictates that sellers can only pay up to 4% of the property\u2019s value in concessions.\u00a0\u00a0<\/span><\/p>\n The <\/span>VA funding fee<\/span><\/a> is one of the most significant <\/span>VA loan closing costs<\/span><\/a>. While this fee is typically paid by the buyer, the responsibility of paying can fall on the seller if negotiated. In any case, someone will be required to pay the VA funding fee unless the borrower <\/span>qualifies for an exemption<\/span><\/a>.\u00a0<\/span><\/p>\n Take charge of your financial wellness and achieve your homeownership goals For veterans and service members, the VA entitlement<\/a> offers a financial guarantee from the Department of Veterans Affairs that promises to cover part of your mortgage if you ever default on it. Your VA entitlement amount is determined by your specific situation and eligibility requirements.<\/p>\n If you\u2019re applying for a VA loan benefit for the first time, then you may be eligible to borrow up to your full entitlement without a down payment required.<\/p>\n However, if you have already used this benefit in the past and now need another one, there may not be much of your original allotment left. In these cases, borrowers must apply for an increase or restoration of their entitlement<\/a> before they can get approved again.<\/p>\n If you\u2019re a veteran and your entitlement is running low, don’t worry \u2014 <\/span>it’s possible to restore what you had before. Here are three steps that can help get the job done:<\/p>\n The easiest option is to sell your existing home, pay off your mortgage, and restore your entitlement that way. We can work with you to make this happen.<\/p>\n If you want to sell your house with a VA loan, there is no required amount of time that you have to wait. You are welcome to sell your house whenever you want, but it is generally a good idea to make sure you can make enough money from the sale to pay off the remaining balance of your mortgage.<\/p>\n If you have a VA loan and you would like to sell your house, the process of selling it is generally the same as it is with a conventional mortgage, aside from the VA home loan requirements for sellers that we covered above.<\/p>\n You need to take a look at the local market to figure out how much your house is worth. Then, you need to put your house up for sale and wait for offers to come in.<\/p>\n It\u2019s generally a good idea to work with a real estate agent who can help you review your offers and make sure you select the best one for your specific financial situation.<\/p>\n Are you thinking about selling your house? Do you still have a VA loan attached to it? If so, <\/span>consider working with an experienced VA lender that can help guide you through the process<\/span>. At Griffin Funding, we pride ourselves on our extensive knowledge of VA home loans, and it would be our pleasure to work with you to help take the next step in buying a new home once you sell.<\/span><\/p>\n Request a quote online<\/span><\/a> or contact us today at 855-698-1230 to speak to a loan specialist who can help you get <\/span>approved for a home loan<\/span><\/a>. We make home-buying for veterans the best experience poss<\/span>ible.<\/span><\/p>\nFind out if you qualify for a VA loan with Griffin Funding.<\/h3>Get Started<\/a><\/div><\/span><\/p>\n
Meet Minimum Property Requirements<\/h3>\n
\n
Pass VA Appraisal<\/h3>\n
<\/p>\n
\n<\/span><\/p>\nNon-Allowable Fees and Concessions<\/span><\/h3>\n
\n
VA Funding Fee<\/span><\/h3>\n
Download the Griffin Gold app today!<\/h3>
\r\nUse invitation code: GRIFGOLD<\/b> to register.<\/p><\/a><\/a><\/div><\/div>\nOther Things to Know When Selling with a VA Home Loan<\/h2>\n
Re-Establishing Your VA Entitlement<\/h3>\n
\n
Wait Time for Selling a Home with a VA Loan<\/h3>\n
<\/p>\nWhat Is the Process of Selling a Home to a VA Loan Buyer?<\/h2>\n
Streamline the Process of Selling a Home With a VA Loan<\/b><\/h2>\n