Bruce Reichstein's (brucereichstein) Blog

In general, the Department of Veterans Affairs VA Loan program does not guaranty loans that restrict the borrower's ability to sell or dispose of the property. VA loans are assumable, meaning the owner can allow another person to assume responsibility for the loan with the participation of the le...

A reader asks, "Our landlord has a VA loan. He has had it for over 10yrs and we rent from him. Can he buy another house with a another VA loan for his self to live in? I am doing this for him. Thanks." While this question may seem a bit unclear, it seems the reader wants to know if the landlord i...

A reader asks, "Is there a 5 year period that must be satisfied before you can sell or move from a home purchased through a VA Loan?" VA loan rules require a borrower to maintain "primary occupancy" in the home purchased with a VA mortgage as long as the original mortgage is still being paid for,...

One important question some newcomers to the VA loans program have about VA insured mortgages involves the length of the VA home loan; what's the longest amount of time a borrower can apply for with a VA mortgage? According to the VA Lender's Handbook, non-amortized loans have a maximum maturity ...

In our previous blog post we discussed discount points and whether or not a seller is allowed to purchase them on behalf of the VA borrower as part of a VA mortgage loan transaction. Discount points are a way to buy down the interest rate on a VA home loan, and the seller is allowed to purchase t...

When you apply for a mortgage loan, one option you have is to purchase "discount points" that can lower the amount of interest on the mortgage. The ability to purchase discount points is also available for VA home loans (talk to your loan officer about this option and how it works), but one quest...

A reader asks, "My husband served in the National Guard and I am wondering if he would qualify for VA benefits…VA loan, hotel discounts, etc." We can't comment about anything other than VA loans here, but when it comes to National Guard service and VA loan eligibility, the VA official site at VA....

One of the most common questions about VA home loans is whether a veteran can get a VA loan with a non-veteran borrower. In situations where someone eligible for a VA insured home loan wants to apply for a mortgage loan with a non-veteran, the VA loan program identifies this as a "joint loan" and...

A reader asks, "I had a short sale, compromise claim, two years ago. I am getting ready to buy a home using the remaining Loan Guaranty Entitlement and my COE indicates EC5. I am still compensated at 30%, am I exempt again from the funding fee?" A compromise claim on a VA mortgage is defined by t...

VA loan rules for VA Interest Rate Reduction Refinancing Loans (IRRRL), sometimes also known as VA Streamline Refinancing, has a set of rules that govern closing costs and the issue of money back to the borrower at closing time. VA Streamline Refinance loans permit certain closing costs to be rol...