VA Loan Limit Part 2 – Can You Qualify for a VA Jumbo Loan in Florida, Texas, Tennessee, or Alabama?
VA Loan Limit Part 2 – Can You Qualify for a VA Jumbo Loan in Florida, Texas, Tennessee, or Alabama?
In Part 1 of our VA Loan Limit series, I explained what VA entitlement is and how it is used in calculating a maximum VA loan amount
In today’s VA Loan Limit Part 2 , we will break down the details on how to qualify for a VA jumbo loan.
Now, before we get started, don’t forget to take advantage and download our Loan Comparison Worksheet with the link below. This free guide is designed to walk you through the process step-by-step and is a great tool for both homebuyers and Realtors alike.
As a starting point, Jumbo Loans are those that exceed the conforming loan limits as established by the Federal Housing Finance Agency for each county. While those loan limits have been recently increased, because the cost of housing continues to rise for so many, it is still common for our office to be asked if there is a VA loan limit.
Thankfully, I am pleased to confirm that VA loans DO NOT have a loan limit or a maximum mortgage amount! In fact, VA guidelines state the following regarding VA loan limits:
“Unlike other home loan programs, there are no maximum dollar amounts prescribed for VA-guaranteed loans.”
Because VA does not have a maximum mortgage amount, this allows for the ability to purchase a home with a No Down Payment VA Jumbo Loan!
Now remember that depending on the lender, they may have internal loan limits specific to their company, so if you are looking for a VA jumbo loan, make sure to clearly explain your parameters and understand any restrictions that lender may have. Additional limitations will apply if the VA loan is a Graduated Payment Mortgage (GPM) or under certain refinance situations.
As you probably realize, VA does limit the loan amount to the reasonable value of the property that is shown on the Notice of Value (NOV) which is determined after the appraisal is received and reviewed. VA will also permit their funding fee to be included within the loan even if that does exceed the value. This means that while the veteran may agree to pay above the appraised value, VA will limit their loan amount to the reasonable value given to the property plus any VA funding fee amount.
VA loans are extremely flexible and are able to cover a wide range of situations and because there are no VA loan limits, this permits a wide range of available properties to be searched along with the added benefit of No Down Payment. Please remember that minimum credit conditions will be required and eligibility is based on each potential applicant’s qualifying ability.
As a VA Approved Lender, we will walk you through the VA Jumbo Loan qualifying process step-by-step. Just call, text, or email to discuss your scenario and let us show you the “Metroplex” difference!
800-806-9836 Ext. 280
Call/Text: 863-593-2001
SeanS@MPLX.org
Thank you again for forwarding and sharing today’s video with any friends, family, co-workers, or clients who are looking to buy, sell, or refinance!
As always, I want everyone to make it a great day, and look forward to seeing you right here for the next tip of the week!
P.S. – You can download our “Loan Comparison Worksheet” by CLICKING HERE.
