Veterans Day -Thank You for Your Service

Today, we pause to honor the brave men and women who have served our country. Your sacrifice and dedication make the freedoms we enjoy possible. From all of us at Augusta Financial, thank you for your service and for continuing to strengthen the communities in which we live.As a small way to give back, we want to spotlight one of the most powerful benefits available to those who’ve served: the VA Home Loan.

What Makes the VA Loan Special

VA loans are government-backed mortgage programs designed to help eligible Veterans, active-duty service members, and certain surviving spouses buy or refinance a home, often with no down payment, no mortgage Insurance, and competitive interest rates.

However, while the VA loan is incredibly flexible, it also has unique rules and guidelines that every lender and borrower should be aware of.

VA Loan Eligibility - Who Qualifies

A VA loan is available to:

• Veterans who meet minimum active-duty service requirements.
• Active-duty service members.
• Members of the National Guard or Reserves (with certain service history).
• Surviving spouses of Veterans who died in service or as a result of service-connected disabilities (and in some cases, remarried spouses who meet specific criteria).

Tip: Always verify eligibility with a Certificate of Eligibility (COE) from the VA. That document informs us of the available loan entitlement.

The VA Funding Fee - and How It Works

The VA Funding Fee is a one-time fee charged by the Department of Veterans Affairs to help maintain the program’s self-sustainability.

• It varies depending on down payment, loan type, and whether it's a first-time or subsequent use.
• Typically, it ranges from 1.25% to 3.3% of the loan amount.

Disabled Veterans:

If a Veteran is receiving disability compensation from the VA, the funding fee is waived.

And here’s an important note:

If a Veteran is later deemed disabled after closing, they may be entitled to a refund of the funding fee, even retroactively. This often surprises borrowers and is worth checking on!

Co-Signers and Co-Borrowers

A VA loan is meant primarily for Veterans and their spouses. A non-spouse co-signer who isn’t a veteran is generally not eligible unless the loan is structured as a joint VA loan, which requires special approval and may impact the terms.

• If a spouse is the co-borrower, that's fully allowed.
• If the co-signer is a non-veteran (not the spouse), only half of the loan may be covered by the VA guarantee, which can affect approval. A minimum down payment of 12.5% is required.

Can a Veteran Have Two VA Loans at Once?

Yes, it's possible! The VA uses a concept called "entitlement.”

If a Veteran has remaining entitlement, they can hold two VA loans simultaneously (for example, keeping their current home as a rental and buying a new primary residence).

However, the VA is not designed to build a real estate portfolio, it's meant to help Veterans secure a primary residence, not multiple investment properties. The VA may deny or discourage repeated use of benefits to accumulate various properties.

How VA Qualifying Works: Residual Income, Not DTI

Unlike conventional or FHA loans, the VA focuses on residual income - the amount of money left over each month after all debts and living expenses are paid.

• This ensures that Veterans have sufficient funds to cover real-life expenses (such as food, transportation, and childcare).
• It's a more holistic measure of financial stability than just a debt-to-income ratio.

Veterans with disability income often qualify for higher loan amounts because disability payments are tax-free, meaning they have more "residual income" available under VA guidelines.

Final Thoughts - Our Salute to You

Today, and every day, we at Augusta Financial honor the Veterans who’ve given so much for our country. Your strength, courage, and service inspire everything we do. Thank you again for your service and for helping to make America what it is today.

Please let me know if you have any questions or if you or any of your clients, friends, or family members need my guidance. I’m just a call, text, or email away.

📞 Direct Line: 661-291-2222 – Text OK

📞 Cell: 661-714-6258 – Text OK

📞 Office: 661-260-2970 ext. 2222 – Text OK

📧 Email: Mike@AugustaFinancial.com

But wait, there’s more…

Interest Rates

Had a bad day yesterday! Today the markets are closed, but tomorrow will be a great day if I can control it! LOL!

Loan Programs

• We do loans on Non-warrantable condos!
• We offer 12-day escrows for pre-approved buyers, including conventional, FHA/Jumbo/Bridge loans.
• We provide loans in all 50 states, so call me with anything you need.
• Government loans (FHA/VA/USDA) are in the 5s.
• Conventional loans up to $806,500 are in the high 5’s and low 6s.
• High-balance loans from $806,501 to $1,209,750 are also in the 6s.
• Jumbo loans above $1,209,750 are in the 6’s.
• ARMS in the 5’s and some in the 6’s
• Bank statement loans are available with 10% down again, with larger down payments in the 6’s++.
• Profit and Loss Statement loans require 20% down - no bank statements needed, only a profit and loss statement!
• 0 down loans are available in the high 6s, with a minimum credit score of 620, up to $1,300,000.
• Private Money lenders offer Hard Money Loans with 35% down.
• No-Ratio Loans require a 30% down payment.
• DSCR (Debt Service Coverage Ratio) loans are available with as little as 15% down.
• Bridge Loans typically have an interest rate of 7.99% with limited fees, helping you get where you need to go!
• 3/2/1 Buydowns, 2/1 Buydowns, and 1/0 Buydowns are available at great starting rates!

Please note that interest rates are subject to change without notice, and the information above reflects LA County Loan Limits.

**Good News for Condos:**   

Canyon Village HOA – removed last week!

**Bad News for Condos***     

Nothing New!

CONDO HELP!!!

If you have a listing or a buyer interested in a specific condo and are unsure whether it is warrantable or Non-warrantable, please call me, and we can look up Fannie’s list in real-time. We don’t know when something has changed, and it would be impossible to track everything day by day, but we don’t mind looking up a few items each day.

The full state of California’s naughty list has been added to: MikeMeena.com! See the link below:

https://mikemeena.com/non-warrantable-condos/

Let me know if you hear anything new about condos or townhouses.

I am available every day if you need anything.

📞 Direct Line: 661-291-2222 – Text OK

📞 Cell: 661-714-6258 – Text OK

📞 Office: 661-260-2970 ext. 2222 – Text OK

📧 Email: Mike@AugustaFinancial.com

Have a great day and an even better tomorrow! Please call me when you have a client who needs to borrow!