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Updated almost 5 years ago,
VA Rehab and Renovation Loan experiences vs traditional VA
Does anyone have any personal experience using the new(er) VA Rehab Loan program? I am curious if this would be a good option to bypass the common downfall of utilizing a traditional VA loan regarding Minimum Property Requirements.
I have utilized the traditional VA loan to purchase a NEW CONSTRUCTION SFH and was shocked at some of the minor flaws the VA appraiser was willing to point out as things that were "necessary to correct prior to funding". For this reason, I have never considered utilizing the VA for anything that needs rehabbing until I started reading more about the VA Rehab option.
Has anyone utilized this strategy to bypass the need to correct any safety issues prior to funding? Based on the description alone, it seems that the VA Rehab Loan would help make your offer more competitive, as minor flaws would not result in the deal falling through, right?
I fully understand that with any VA product your offer is not as desirable as cash, hard money, conventional, etc. due to the extra hoops the seller has to jump through, but I lean towards the belief that there would be a decent niche for house hacking an outdated 2-4 unit using the VA rehab loan (even if you have to pay a bit more than those cash guys to get it).
Thanks!