loan approved now they want information that I can give

[Anonymous]

I am currently active duty (Okinawa) in the military we were approved for a VA loan and are having a house built.  My wife is moving back once the house is built.  Now they are stating that I need military relistment papers showing that I will be in the military one complete year after the house closes.  My orders are finished September 2010 house will close November 2009.  Can they require those papers??

[Anonymous]

I doubt that it is a VA thing, but each individual lender can have any number of additonal requirements above what VA requires.  It probably has something to do with alot of peopel getting out of the military and trying to find work may be having tough times so they want to make sure there is some stability as you adjust to the new house.

That is just a guess on my part though.  IT does seem odd.

[BrianB_The_Loan_Professor]

They can definitely do that

Most banks will want to know that you have a 3 year expected continuance of income before they will count it

I dont do many VA loans so I wont pretend to know all of the details but Mickies explanation is pretty solid. It is a tough job market out there and if you are leaving the military without any guaranteed type of income this is an issue for them.

Good Luck I hope it all works out

B

[Anonymous]

other thing, and this is a question, not an answer, but do loans for active duty and non-active duty differ.  For instance, there may be certian things that are waived for active duty, but maybe only i you have at least a year left in?  Again, I don't know, but it would not surprise me.

[ShanetheMortgageMan]

Per the VA lender's handbook:

Active Military Applicant’s Income 

Verification

A military LES (Leave and Earnings Statement) is required instead of a VOE (VA Form 26-8497).

· The LES must furnish the same information as a VOE.

· The LES must be no more than 120 days old (180 days for new construction).

The LES must be an original or a copy certified by the lender to be a true copy of the original.

In addition, identify service members who are within 12 months of release from active duty or end of contract term. Find the date of expiration of the applicant’s current contract for active service on the LES (for an enlisted service member) or on an officer’s orders. For a National Guard or Reserve member, find the expiration date of the applicant’s current contract. 

If the date is within 12 months of the anticipated date that the loan will close, the loan package must also include one of the following four items, or combinations of items, to be acceptable: 

· Documentation that the service member has already reenlisted or extended his/her period of active duty to a date beyond the 12 month period following the projected closing of the loan, or

· verification of a valid offer of local civilian employment following the release from active duty. All data pertinent to sound underwriting procedures (date employment will begin, earnings, and so on) must be included, or

· a statement from the service member that he/she intends to reenlist or extend his/her period of active duty to a date beyond the 12 month period, plus

· a statement from the service member’s commanding officer confirming that:

- the service member is eligible to reenlist or extend his/her active duty as indicated, and

- the commanding officer has no reason to believe that such reenlistment or extension of active duty will not be granted, or

· documentation of other unusually strong positive underwriting factors, such as:

- a down payment of at least 10 percent

- significant cash reserves, and

- clear evidence of strong ties to the community coupled with a nonmilitary spouse’s income so high that only minimal income from the active duty service member is needed to qualify.