VA minimum score required

[lpayton]

I have pulled my scores up from middle 500's to high 500's/low 600's. 

Here are my questions:

1. What is the minimum score for a VA loan? I thought it was a 620, but I just heard it is a 580.

2. "Middle Score".  Soooo this means they take an average of my three scores? Or literally the "middle score" of the three.  Example, a 500, 550, 600 would mean for mortgage lending purposes I would have a 550?

3.  On a $100,000 or less loan what would I need on hand for closing costs?

I make $50,000/year have no revolving debt (besides newly opened credit card with $200 limit...not reporting yet)...and have no other debt (no car payments, student loans paid off, etc.) 

No new baddies in the last year, they are all from 2006/2007.  I am working to get those paid and removed too, but one thing at a time.

So...Is there a way I can qualify now?  What about a Homepath? FHA?  Is VA my best bet because no down?  Hellllp! lol

[gagum129]

In general, there is no minimum score required by the VA. BUT typically every lender has some sort of requirement as far as score goes. I have read on here people saying that there lender's have asked anywhere from 580 to 640.

You are right on the middle score. It is actually the middle score, not the average. The middle score is used but information from all three reports will be reviewed and evaluated.

Closing costs will vary depending on the lender and title companies. The good thing about VA is you can get the seller to pay most of the closing. In my case I am purchasing a short sale for around $155,000. I have $5000 seller concessions in the contract. My total out of pocket is expected to be around $300.

The baddies you will have to elaborate on. If they are collections they typically will need to be paid prior to closing. Sometimes if they are medical collections the lender will not require you to pay them off.

In my current experience VA seems to be working out very well.

[lpayton]

Thanks for your feedback.  Very helpful!

[Booner72]

I would think VA is your best friend, but the person I referred you to will explain all your options and tell you the best route.  She and I discussed Homepath VS. FHA, and though I did buy a homepath home, I went FHA bc the interest rate was cheaper - it was a better deal even without the PMI that Homepath offers.

[lpayton]

Yes, I agree witht the VA being a best friend...I really really like the 0 down thing.  The dream house I mentioned on my "bleeding ears" thread is a homepath home. 

[Booner72]

That sure would be a small world, then, if we both got homepath houses and used the same LO, huh?

[lpayton]

yes! haha...and one happy LO