RESIDUAL INCOME REQUIREMENTS FOR VA LOANS

 

When lenders are reviewing an applicant’s qualifications for a mortgage, there are many aspects that they must take into consideration. For VA loans specifically, not only do lenders look at overall debts (credit card expenses, installment loans, and your new mortgage expense), they also look at additional and every day expenses (such as food, clothing and gas) to ensure there are enough funds available to cover the mortgage and basic living expenses.

This is known as the Residual Income Requirement. When qualifying for a VA purchase or refinance, you will need to meet certain minimum residual income numbers based on your requested loan amount, where you will be buying and how many people will live in the home.

Below is an example of a residual income requirement chart.

Zip Zone Adventure Park

Zip Zone Adventure Park

Have you visited ZipZone? My son loves the Adventure Park. They have a new adventure park obstacle course that is an elevated, self-guided experiences featuring bridges, nets, zip lines, swings, cable walkways and more. There are 75 challenge elements with actives for everyone 4 years and older.

This is my favorite zip! Zip Zone

 

Zip On!

Visit Zip Zone at  7925 N. High St. Columbus, OH 43235.   Just North of CrossWoods!

Does the seller have the same disclosure in as “As-Is” sale?

Yes.  The terminology “As-Is” simply means that the seller will normally not be paying for any repairs to the property.  An “As-Is” sale may not exempt a seller from disclosure material information about the property.  The seller must still accurately complete a Residential Property Disclosure Report and deliver it to the buyer, unless otherwise exempt and must still disclose other material facts affecting the value or desirability of the property.

What are the seller’s obligations regarding the Residential Property Disclosure

Generally, the seller must complete the Residential Property Disclosure (RPD) and deliver it to the prospective buyer as soon as practicable before the preparation of an offer.  Seller should thoughtfully and carefully consider each question and answer it accurately, erring on the side of more, than less disclosure.  Some transaction  are exempt from this requirement.  Sales associated do not have the obligation to verify statements made by the seller on these forms.

What must a seller disclose about the condition of the property?

A seller must disclose known material defects about the property.  Typically, a sellers makes these disclosures on a Residential Property Disclosure (RPD) Form.  However, if an items is not covered on a RPD, a seller must still make disclosures about known material defects.  In virtually all cases, a buyer will discover any problems once the buyers occupies the property.  By disclosing all problems up front, the seller can avoid the surprise that many times provokes a lawsuit.  Even if a matter has been repaired, the seller should disclose the previous defect and repairs completed.

What is the Residential Property Disclosure?

 

The Residential Property Disclosure is a form required by state law which the seller completes (unless exempt) and delivers to prospective buyers.  Among  other things, it asked the seller to list the various features of the property and disclose whether or not any of these features  are in operating condition.  It also allows a seller to states whether the seller is aware of a variety of commons issues that might affect the property and any recent repairs.

In 2013, the State of Ohio updated the  Residential Property Disclosure.

10 Tips for Safe, Effective Operation of Your Heating Equipment

Heating Equipment is a very important component of your home.  It is important to service your system properly maintained by a licensed contractor.

Don’t try to adjust automatic dampers, heat reclaiming devices or safety controls on heating equipment. If your equipment doesn’t operate properly, call a qualified service company for a safety check and needed repairs.

When buying new equipment check the label plate for certification. This is your insurance that the equipment is designed to meet national Safety standards.
Have heating equipment installed by a qualified heating contractor to ensure is properly connected.
Follow the manufacturer’s instructions for proper operation and care of your equipment.
Make sure your chimney and flue are kept. Make sure your chimney and flue are kept clean.
Inspect the vent pipe for rust. Replace it if corrosion has created a hole.
Check furnace filters regularly and clean or replace them if dirty. Check belts for wear.
Clean equipment and burner areas free of dust dirt and debris.
Keep the furnace unit intact. Don’t remove panels without replacing them.
Use equipment for the job it was designed to do never use a cooking range top or oven to heat your home.