WHAT ARE THE CONSEQUENCES FOR RENTING MY VA HOME - Posted by mike

Posted by RR Smith on February 07, 2000 at 18:21:08:

The VA Loan guarantee is supplied by the VA to guarantee that the loan payments will be made to the bank/mortgage company that makes the loan. It is transferable but the people that assume the loan (guess what?) have to requalify for the mortgage with the VA and the people that wrote the mortgage?(even though the VA GUARANTEES THE PAYMENTS). So my point is that it truly is not a type of mortgage per se but a GUARANTEE WITH PROVISIONS (good provisions, low down, no per payment penalty, etc.)on top of another mortgage that can be ?packaged? along with several hundred other mortgages and sold as a group to investors as a commodity. After you sell your loan guarantee the VA will happily issue you another one and you can sell that one too (if your into pain and suffering)etc. etc.

WHAT ARE THE CONSEQUENCES FOR RENTING MY VA HOME - Posted by mike

Posted by mike on January 24, 2000 at 19:13:59:

I currently own a home which i purchased using a VA Certificate. I am leaving the area and would like to keep the home.

None… - Posted by drew

Posted by drew on January 27, 2000 at 19:44:51:

Mike,
There are no consequences except that you’ve tied up your VA loan. Check out the VA website for details.

The VA just requires that you use the loan to purchase a home that you intend to occupy. Since you occupied it, you are in the clear and can lease it. If you are moving far from your home I would suggest finding a good property manager.

Best of Luck!

-drew

Re: None… - Posted by brandi

Posted by brandi on January 31, 2000 at 23:09:37:

I am also a veteran and was just reading about VA loan eligibility. I think I read that you must occupy the home for 5 years to avoid a penalty.