Posted by Dave T on May 24, 1999 at 24:45:56:
If a person disposes of the property securing a VA-guaranteed loan for which a commitment was made after March 1, 1988, without first notifying the holder of the loan, the holder may demand immediate and full payment of the amount owing on the loan.
Due on sale clause - Posted by vince
Posted by vince on May 23, 1999 at 21:52:36:
would either a WRAP mortgage or lease option trigger a due on sale clause on a non assumeable VA loan? How would lender know?
Re: Due on sale clause - Posted by Bronchick
Posted by Bronchick on May 24, 1999 at 11:11:34:
An wrap using a land contract wherein title doesn’t transfer permitted on a VA loan. Oddly enough, the VA regs say nothing about a lease/option, which is less of a “transfer” than a land contract. However, the typical VA mortgage says a lease/option is a violation.
Your question is also your answer . . . “how would the lender know”?