| Author |
Previous Topic | Next Topic |
|
Bob H
300 Posts |
 Posted - 05/20/2008 : 6:58:31 PM
|
My company just started doing VA's and we picked up a purchase and a refi. I am totally new to running them through DU. The refi is getting an approve/ineligible because the maximum loan amount calc is 144k and the loan is $362k. Where does the maximum loan calc come from?
The loan is a consolidation of a purchase money 1st and 2nd. Is this considered cash out or no cash out with VA? I have the funding fee chart but I'm not sure what % to use. The borrower has 800 scores, very low DTI, and the LTV is between 90 - 95. Seems like a slam dunk but I can't get an approve eligible.
Any help on this would be awesome. |
|
jpar994
874 Posts |
Posted - 05/20/2008 : 7:14:16 PM
|
| ask MISTERVA he is the man for va |
|
|
MisterVA
6634 Posts |
Posted - 05/20/2008 : 7:18:04 PM
|
| DU only uses the basic entitlement of $36,000. My processor usually does the tweaking for amounts over 144k, but if you are looking at cash out 90 LTV is the max. But it is not since both were purchase money. If you get refer/eligible you should be okay. You may need to speak to an UW about what might need to be tweaked. |
|
|
dkendall1979
10288 Posts |
Posted - 05/20/2008 : 7:18:36 PM
|
It depends on the amount of VA gaurantee coverage your borrower has.
Cash Out refinance loans greater than the $144k are eligible if the VA guaranty or a combination of the VA guaranty plus the down paymnet and/or equity meets the 25% guaranty coverage requirement. |
|
|
MisterVA
6634 Posts |
Posted - 05/20/2008 : 7:20:42 PM
|
| There is usually a supplemental entitlement. Best suggestion: Call an underwriter and ask. |
|
|
hherrm
1407 Posts |
Posted - 05/20/2008 : 7:34:21 PM
|
quote:
Originally posted by Bob H
My company just started doing VA's and we picked up a purchase and a refi. I am totally new to running them through DU. The refi is getting an approve/ineligible because the maximum loan amount calc is 144k and the loan is $362k. Where does the maximum loan calc come from?
The loan is a consolidation of a purchase money 1st and 2nd. Is this considered cash out or no cash out with VA? I have the funding fee chart but I'm not sure what % to use. The borrower has 800 scores, very low DTI, and the LTV is between 90 - 95. Seems like a slam dunk but I can't get an approve eligible.
Any help on this would be awesome.
Make sure that you put the entitlement ($36000) in the addendum before submitting it to DU. If you have nothing in there it will give you ineligible findings. |
|
|
Bob H
300 Posts |
Posted - 05/20/2008 : 8:39:20 PM
|
| I did put the $36k entitlement in and still got ineligible for exceeding max loan amount. I will have to check with an underwriter in the AM. What are the main differences between VA & FHA/Conventional underwriting? I have a feeling that I will be seeing more VA apps due to base re-alignment over the next few years. |
|
|
hherrm
1407 Posts |
Posted - 05/20/2008 : 8:46:12 PM
|
What is the findings telling you? They should give you a clue as far as why ineligible.
The most important thing about VA is to make sure that you get the VA loan analysis right. |
|
|
| |
Previous Topic | Next Topic |
|
Search for: 
