Between Two Doors

  Hey my fellow Veterans and Active Duty, did you know that childcare expenses are part of the VA’s residual income test? When applying for a VA home loan, the VA doesn’t just look at your debt-to-income ratio. They also want to make sure you’ll have enough residual income —the money left over after paying your mortgage, taxes, insurance, and other monthly obligations. This safety net is what makes VA loans one of the most flexible and borrower-friendly programs available. But here’s the catch: childcare costs count as an ongoing expense in this analysis. That means if you’re paying $800 a month for daycare, it’s factored in alongside car payments, credit cards, and other obligations. Why this matters: Childcare costs can be just as significant as a car payment or even part of your mortgage. Failing to plan for it may leave you short of the residual income minimums that the VA requires by family size and region. Factoring it in early helps avoid last-minute surprises ...

  Hey my fellow Veterans and Active Duty — did you know VA has its own rules for student loans? Don’t assume you’re blocked from buying! One of the biggest myths I hear from Veterans and Active Duty borrowers is: “I can’t buy a home because of my student loans.” That’s simply not true. The VA loan program has its own calculation methods for student loan payments, and in many cases, it’s FAR MORE FLEXIBLE than Conventional or FHA loans. How VA Handles Student Loans Deferred Loans: If your student loan payments are deferred for 12 months or more, VA guidelines may allow you to exclude them from your debt-to-income (DTI) ratio. Income-Based Repayment (IBR): VA typically uses the actual payment amount shown on your credit report, even if it’s $0 under an income-driven plan. Standard Loans: If there’s no clear monthly payment, VA lenders may calculate one at 5% of the outstanding balance divided by 12 months — but this is often more favorable compared to other loan programs...

  When buying a home with a VA loan, there’s one document that can make or break the process: the Notice of Value (NOV) . The NOV is the official VA appraised value of the property. It’s not just a number—it’s the VA’s confirmation of what the home is worth, and it sets the stage for your loan amount, potential repairs, and even your closing timeline.  Choosing a lender that is not an expert in VA Loans can costs you $1,000's!   Why the NOV Matters Value Check: The NOV ensures Veterans don’t overpay for a property. Repairs: If the VA appraiser notes repairs, those must be completed before closing. Closing Timelines: Delays can happen if the property doesn’t meet VA’s minimum property requirements (MPRs). Example: Lt. Miller’s Home Purchase Sgt. Miller, an Army Veteran, fell in love with a brick home in North Texas listed at $280,000. His lender ordered the VA appraisal, and soon after, the NOV came back at $275,000 —$5,000 lower than the asking p...

  Hey my fellow Veterans and Active Duty, did you know that the Tidewater process gives Realtors a chance to step in and provide comparable sales (comps) before a VA appraiser finalizes the value? This can be a game-changer in making sure your home purchase (or sale) gets a fair shake. What is the Tidewater Process? The Tidewater Initiative was introduced by the VA to improve transparency and accuracy in appraisals. Here’s how it works: If the VA appraiser thinks the property value might come in below the contract price , they trigger the Tidewater process. At that point, the listing agent (or sometimes the buyer’s agent) has 48 hours to provide comps—recent, relevant sales that support the purchase price. The appraiser then reviews this information before making their final decision. This process gives Realtors a direct voice in making sure Veterans aren’t shortchanged by an undervaluation. Why It Matters for Veterans Appraisals are one of the most nerve-wra...

  Mortgage Market Update – September 12, 2025 The mortgage world is buzzing this week with significant developments that could shape the market for the rest of the year. From interest rates brushing key psychological thresholds to major labor data revisions and long-awaited legislative victories, here’s what you need to know. The 10-Year Treasury: Flirting with 4.0% For the first time since August 1, 2024 , the 10-year Treasury yield nearly dipped below 4.0%. While it hovered right at that line during live trading today, breaking below 4.0% would be an important psychological barrier . Why does this matter? Mortgage rates track closely with the 10-year. A move down toward 3.95% could open the door for 30-year mortgage rates to settle in the low-6% range . Hitting that mark would ease a major barrier for homebuyers, making affordability more realistic and potentially fueling stronger housing demand. Mortgage Rates Near 11-Month Lows The Wall Street Journal recent...

  When it comes to getting a mortgage, many borrowers assume tax returns are always required. But that’s not the full story. Different loan types come with different documentation standards—especially when it comes to tax returns. Did You Know? Conventional & FHA Loans : Lenders will usually require full tax returns if the borrower is self-employed, has variable income, or earns commissions. This is to help verify income consistency and ensure the borrower can repay the loan. VA Loans : For Veterans and Active Duty borrowers who are W-2 employees with no complicating factors , tax returns often aren’t required. Instead, underwriters can rely on pay stubs, W-2 forms, and verification of employment. Why This Matters Less Paperwork – No need to dig through years of tax filings. Faster Underwriting – With fewer documents to review, approvals can move more quickly. More Flexibility for Veterans – The VA loan program is designed to honor service with benefits that make ...

  Hey my fellow Veterans and active duty — did you know VA loans can cover jumbo loan amounts ? That means you may be able to purchase a home that exceeds conventional loan limits often with no down payment required . What Is a Jumbo VA Loan? Normally, a “jumbo loan” refers to any mortgage above the standard conforming loan limit (set annually by the Federal Housing Finance Agency). For 2025, most areas have a conforming loan limit of $766,550 , but certain high-cost counties are higher. With conventional financing, going over this limit usually requires a jumbo loan, which often comes with: Higher down payment requirements Stricter credit standards Higher interest rates But with a VA loan, eligible Veterans and active duty service members can often skip the down payment requirement , even on homes well above the conforming limits. Why This Matters No Down Payment: Unlike conventional jumbo loans that may require 10–20% down, VA loans can allow zero down. Co...

  One of the most common questions I get from Veterans is: “Can I use my VA Loan to buy more than one home?” It happens more that I'd like to admit that i hear a Veteran or a Realtor tell me that the VA Loan can only be used once.  I'll stake my Mortgage License on this Fact: YES, VETERANS and ACTIVE DUTY PERSONNEL CAN USE THEIR VA LOAN MULTIPLE TIMES!!!  Seriously, this is in my humble opinion, the single greatest entitlement we have for accumulating generational wealth through real estate! If a lender tells you no, RUN!!!   Let’s walk through an example story that illustrates how this works. Meet Sergeant James: A Real-Life Example Sergeant James served in the Army for eight years and is now stationed in Texas. A few years ago, he bought his first home in Killeen using his VA Loan benefit. At the time, he thought that was it — one VA Loan, one house, end of story. Now, James is being reassigned to Pensacola, Florida. He wants to keep his Texas home as a renta...