VA Loans

Maximum Sales Price with No Down Payment

Maximum Loan Amount with Small Down Payment

VA Funding Fees

Maximum Seller Finance Concession

Buyer's Closing Costs

Escrow Holdbacks

Termite Reports

Home Inspections

Maximum Sales Price with No Down Payment

If the Buyer has already used his/her VA eligibility at least once, the Maximum Sales Price for a VA Loan with no down payment is now $359,650.
If the Buyer has never used his/her VA eligibility before, the Maximum Sales price is $359,650 with no down payment.
If the Buyer is consider by the Veteran's Administration to be "disabled", the Maximum Sales Price is $359,650 with no down payment.

Maximum Loan Amount with Small Down Payment

The maximum loan amount for a VA loan is $359,650. However, the borrower must make a small down payment. Please call Lance for further details.

VA Funding Fees

VA loans do not charge any monthly mortgage insurance regardless of down payment. The VA does charge an up front fee which is called a VA Funding Fee. This can be financed into the loan and is calculated based on the loan amount after down payment (if there is one). Buyers who are considered by the Veteran's Administration to be "disabled" are exempt from paying the Funding Fee. The Funding Fees are calculated as follows:

1st Time Use w/ $0 Down: VAFF = 2.15%
Subsequent Use w/ $0 Down: VAFF = 3.30%
Anytime Use, w/ 5% - 9.99% Down Payment: VAFF = 1.5%
Anytime Use w/ 10% + Down Payment: VAFF = 1.25%

Please note: VA Funding Fees may differ if the veteran served in the Reserves or National Guard. Please call Lance for more details.

Maximum Seller Finance Concession

The Seller is allowed to contribute up to 4% of the sales price for the buyer's closing costs, pre-paid items, and/or to pay off the borrower's debt/collections/judgments on VA loans.

Buyer's Closing Costs

The same as FHA closing costs are those closing costs that the buyer is allowed to pay. The VA does not allow the veteran to pay any "lender" fees nor any part of the Escrow Fee. Therefore, the seller would typically agree to pay these fees which equal approximately $752 + the entire Escrow Fee. These fees are itemized as follows but are subject to slight variation:

Tax Service $77
Underwriting $275
Processing $200
Document Preparation $175
Wire Fee $25
Any Courier Fees (Contact your Title/Escrow Company)

The $752 dollar amount is entered into the contract on Line 79 of the standard Arizona Real Estate Contract. The contract itself lists that the seller then also agrees if the loan is a VA loan to add the entire escrow fee to the dollar figure entered into Line 80.

If any of the Buyer's Closing Costs are to be paid by the seller, it can be added into the Additional Terms and Conditions on Page 8 of the standard Arizona Real Estate Contract form or in an addendum.

Escrow Holdbacks

There are no Escrow Holdbacks for repairs allowed. Any repairs requested either by the Buyer or required by the VA appraisal, must be completed and verified by the close of escrow. The sub-contractor(s) can be paid at closing.

Termite Reports

A clear Termite Report is required on all VA loans. The termite report must state that no visible evidence of subterranean termites exists, no wood to earth contact, no faulty grades (unless due to construction), and no excessive moisture. Any damage noted on the termite report due to subterranean termites must be repaired.

Home Inspections

Home Inspections are not required but are encouraged on VA loans.

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