Forum Replies Created
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Chad Bush
MemberAugust 28, 2024 at 10:45 pm in reply to: Need Help Understanding VA Loan Requirements and How to Obtain a COEThat’s a great question, and I’m glad you’re looking into a VA loan—it’s a really smart benefit to take advantage of for those that are eligible. The process can seem a bit confusing at first, but I can definitely help break it down for you.
Eligibility Requirements:
To qualify for a VA loan, you generally need to meet one of the following criteria:
- Service Requirements:
- Active Duty: Veterans must have served at least 24 continuous months of active duty, or at least 90 days during wartime, or 181 days during peacetime if they were called or ordered to active duty.
- National Guard/Reserves: You should have at least 6 years of service, unless you were called to active duty, in which case the same 90-day wartime or 181-day peacetime active duty requirements apply.
- Spouse of a Veteran: Some surviving spouses are eligible, particularly if the service member died in service or due to a service-related disability.
- Discharge Status:
- Your discharge should be under conditions other than dishonorable.
Obtaining the Certificate of Eligibility (COE):
The COE is a key document you’ll need to show your lender that you qualify for a VA loan. Here’s how you can get it and what documents you’ll need:
- Online Application:
- The fastest way is to apply online through the VA’s eBenefits portal. Many people, including myself, have been able to get their COE almost instantly after applying online. However, sometimes it can take a little longer, depending on your specific situation.
- Through Your Lender:
- Lenders can often use an online system called Web LGY to quickly access your eligibility information and help you obtain your COE. The process is usually fast, depending on your eligibility and the accuracy of your records. Loan officers like myself work closely with lenders to ensure everything goes smoothly.
- By Mail:
- If you prefer, you can apply by mail by completing the VA Form 26-1880. You’ll send this form to the appropriate VA office. This method takes longer, usually around 4 to 6 weeks.
Documents You’ll Need to Submit for the COE:
- Veterans: A copy of your discharge or separation papers (DD Form 214) showing the nature of your service and the type of discharge you received.
- Active Duty Service Members: A statement of service signed by your personnel officer, adjutant, or commander of your unit or higher headquarters.
- Current or Former National Guard or Reserve Members: A copy of your retirement points statement and proof of your honorable service. If you were discharged, you may also need your DD Form 214.
- Surviving Spouses:
- If you’re receiving Dependency & Indemnity Compensation (DIC), you’ll need the Veteran’s discharge documents (DD214) and a completed Request for Determination of Loan Guaranty Eligibility—Unmarried Surviving Spouses (VA Form 26-1817).
- If you’re not receiving DIC benefits, you’ll need:
- A completed Application for DIC, Death Pension, and/or Accrued Benefits (VA Form 21P-534EZ),
- A copy of your marriage license,
- The Veteran’s death certificate.
Next Steps:
Once you have your COE, you can start the process of applying for the VA loan with your loan officer. They’ll guide you through the rest of the application process, including gathering necessary financial documents and working on your loan approval.
If you ever need help with the process or have more questions, feel free to reach out. I’m happy to assist you with your VA loan journey.
You can also check out the following article for even more info on VA loans:
https://chadbushre.com/everything-you-need-to-know-about-va-loans/
chadbushre.com
VA loans, backed by the U.S. Department of Veterans Affairs, allow veterans and service members to buy homes with no down payment and competitive interest rates. This guide details eligibility, types of VA loans, the application process, and financial considerations, … Continue reading
- Service Requirements:
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Another important point to consider is that, in the cons column, Proposition 19 can significantly affect families who inherit property. Now, if you inherit a home, you only keep the low property taxes if you actually live in the house. If you don’t, the taxes can go way up because the property gets reassessed at its current value. This could mean some families might have to sell a home they wanted to keep. Just something to think about when looking at the downsides of Prop 19.
- This reply was modified 2 months, 4 weeks ago by Chad Bush.
chadbushre.com
In November 2020, California voters passed Proposition 19. This law changed the way property taxes work in the state. The goal was to help some people, like
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Proposition 19 lets certain homeowners—like those over 55, disabled, or affected by a natural disaster—move to a new home in California without their property taxes going way up. You can take the lower property tax from your old home and apply it to your new one, even if the new place is more expensive.
This rule can save you a lot of money on property taxes when you buy a new home. If you qualify, you can move and keep paying the lower property tax you had on your old home, which is a big deal in California’s pricey housing market. It makes moving to a new home more affordable, especially for older or disabled homeowners.
To qualify, you need to be at least 55 years old, disabled, or have lost your home in a natural disaster like a fire or earthquake. You also have to be moving from your main home, and you can use this benefit up to three times in your life.
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Chad Bush
MemberAugust 21, 2024 at 8:41 pm in reply to: What is it Like Owning a German Shepherd For a Family With KidsGerman Shepherds are such cool dogs! Their intelligence and loyalty totally explain why they’re the go-to for military and police work.
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Chad Bush
MemberAugust 19, 2024 at 7:22 pm in reply to: New Buyer Representation Agreement: What Homebuyers Should KnowI’ve heard many differing opinions on this topic as well, and it’s no surprise given the significant departure from long-standing practices. It’s difficult to predict exactly how this will affect everyone involved. Like with any big change, some will find it easier to adjust than others. The key will likely be in how well everyone—buyers, sellers, and agents—can adapt. Clear communication and education across all parties should help make the transition smoother for everyone, though.
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Chad Bush
MemberAugust 15, 2024 at 6:51 pm in reply to: What Should Veterans Know Before Using a VA Loan?VA loans are one of the most powerful tools available to veterans and active-duty service members when purchasing a home, but understanding how they work is key to making the most of this benefit. Here’s a quick overview of what you need to know to get started:
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No Down Payment Required:
One of the biggest advantages of a VA loan is that you can purchase a home with no down payment, which can significantly reduce the upfront cost of homeownership. This benefit is particularly valuable in competitive markets where saving for a large down payment can be a hurdle. -
No Private Mortgage Insurance (PMI):
Unlike conventional loans, VA loans don’t require you to pay for private mortgage insurance (PMI), even if you don’t make a down payment. This can save you hundreds of dollars a month, making homeownership more affordable. -
Lower Interest Rates:
VA loans often come with lower interest rates compared to conventional loans. This is because they’re backed by the Department of Veterans Affairs, reducing the lender’s risk. Over the life of the loan, this can lead to significant savings. -
Lenient Credit Requirements:
While your credit score is still important, VA loans tend to have more lenient credit requirements than other loan types. If you have a credit score that might make it challenging to qualify for a conventional loan, a VA loan could be a more accessible option. -
VA Loan Funding Fee:
To keep the VA loan program running, borrowers are required to pay a funding fee, which is a one-time cost that can be financed into the loan. The amount of this fee varies depending on factors like your down payment (if any) and whether you’ve used a VA loan before. However, some veterans are exempt from this fee, particularly those with service-connected disabilities. -
Property Requirements:
The home you’re buying must meet the VA’s minimum property requirements to ensure it’s safe, sound, and sanitary. This is assessed during the VA appraisal, which also determines the home’s value. -
Eligibility Requirements:
To qualify for a VA loan, you need to meet specific service requirements, which vary depending on when and how you served. Additionally, you’ll need to obtain a Certificate of Eligibility (COE), which you can request online, through your lender, or by mail.
To ensure you’re fully prepared, I recommend starting by securing your COE, reviewing your credit report, and getting pre-approved by a lender who understands VA loans. This will give you a clear understanding of your purchasing power and help you move quickly when you find the right home.
For more detailed information, feel free to check out my article, “Everything You Need to Know About VA Loans,” (https://chadbushre.com/everything-you-need-to-know-about-va-loans/) where I dive deeper into the benefits and process of securing a VA loan. If you have any further questions or need assistance, I’m here to help!
chadbushre.com
VA loans, backed by the U.S. Department of Veterans Affairs, allow veterans and service members to buy homes with no down payment and competitive interest rates. This guide details eligibility, types of VA loans, the application process, and financial considerations, … Continue reading
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Thanks for all the feedback! After discussing my options with compliance departments on both the real estate and mortgage sides, I’ve found that my options are somewhat limited. Since I’m a real estate salesperson and not a broker, I can’t create a DBA for my real estate business on my own. I’m only allowed to use my name and job title, for example, “Chad Bush, Realtor.”
So, I have two options: I can market myself using just my name and titles, such as “Chad Bush, Realtor and Loan Officer,” or I can separate the two businesses. For the mortgage side, I can then create an MLO-specific business name that only follows Nexa’s guidelines, including mentioning “powered by Nexa Mortgage” in the business name.
Unfortunately, those seem to be the only allowable options.
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Chad Bush
MemberAugust 17, 2024 at 5:39 am in reply to: New Buyer Representation Agreement: What Homebuyers Should KnowThank you for the thoughtful input! You’re absolutely right—there’s a lot of confusion and varying opinions about the future under these new NAR rules. The biggest takeaway, in my view, is that sellers are no longer automatically obligated to cover the buyer’s agent commission, which has long been the standard. This used to benefit homebuyers by giving them representation at no direct cost.
However, it’s crucial for buyers to remember that if they opt to work directly with the seller’s agent, they might lose some bargaining power. The seller’s agent’s duty is to get the best price for the seller, not the buyer, which can put inexperienced buyers, especially first-timers, at a disadvantage. Having your own agent ensures that someone is looking out for your best interests and could save you from potentially paying more.
The settlement does a great job of clarifying the responsibilities of a buyer’s agent, which is a positive change. But, I don’t think this shift will necessarily lead to better prices for buyers just because sellers aren’t required to pay the buyer’s commission anymore. The seller’s goal is still to get the highest possible price, regardless of who pays the commission.
Importantly, while the commission can no longer be advertised on the MLS, sellers can still pay the buyer’s agent commission. I foresee this becoming a common practice, likely treated as a concession in negotiations, especially as the market shifts more in favor of buyers with dropping interest rates. Ultimately, while this is a significant change in the real estate market, it should lead to more transparency for buyers. Sellers, on the other hand, may need to adapt their strategies and become more open to concessions to remain competitive and ensure their homes sell within a reasonable time frame.
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Chad Bush
MemberJuly 30, 2024 at 5:21 pm in reply to: How Can Homebuyers Afford a House in CaliforniaI love living in Orange County for a number of reasons. You really can’t beat the weather. It is beautiful all year round. And it is close to everything. San Diego, Santa Barbara, LA, Big Bear are all a relatively short drive away, which is great for an avid outdoors person like myself. The beach as well as a ton of hiking spots are also only 15 minutes down the road , when we’re not looking to do a short road trip. My wife also loves all the restaurant options. There is definitely a lot of good food to choose from.