Question 1

Do VA loans require a down payment?

Accepted Answer

Most VA loans do not require a down payment. Many eligible veterans can buy with zero down when the purchase meets VA guidelines.

Question 2

Is there a minimum credit score for a VA loan?

Accepted Answer

The VA does not set a minimum credit score. Approval is based on income, payment history, and overall financial stability.

Question 3

What is residual income and why does it matter for VA loans?

Accepted Answer

Residual income is the money left each month after major bills are paid. The VA uses this to help make sure the mortgage payment is affordable long term.

Question 4

What is the VA funding fee?

Accepted Answer

The VA funding fee is a one-time fee that supports the VA loan program. It is often rolled into the loan, and some veterans are exempt.

Question 5

What does Non-QM mean?

Accepted Answer

Non-QM stands for Non-Qualified Mortgage. It is designed for borrowers who do not fit traditional loan rules but still have the ability to repay.

Question 6

Can I get a mortgage without tax returns?

Accepted Answer

Yes. Some Non-QM programs use bank statements instead of tax returns to show income, which can better reflect real cash flow.

Question 7

How do bank statement loans work?

Accepted Answer

Bank statement loans review 12 to 24 months of deposits to estimate income instead of using tax returns.

Question 8

Can I qualify for a mortgage after bankruptcy or foreclosure?

Accepted Answer

In many cases, yes. Some loan programs allow shorter waiting periods than traditional loans, depending on the details.

Question 9

Can I get a HELOC without refinancing my first mortgage?

Accepted Answer

Yes. A stand-alone HELOC allows you to keep your current mortgage and low interest rate while accessing home equity separately.

Question 10

What is the difference between a HELOC and a home equity loan?

Accepted Answer

A HELOC is a revolving line of credit you can draw from as needed. A home equity loan provides a lump sum with a fixed payment.

Question 11

Can I get a fixed rate on a HELOC?

Accepted Answer

Some HELOC programs allow you to lock part or all of the balance into a fixed rate, depending on the lender.

Question 12

Can I use a HELOC to buy another home or investment property?

Accepted Answer

Yes. Home equity is often used for down payments, renovations, or bridge financing without refinancing the main mortgage.

Question 13

What is a DSCR loan?

Accepted Answer

A DSCR loan is an investment property loan that qualifies based on rental income instead of personal income.

Question 14

Can I use rental income to qualify for an investment property loan?

Accepted Answer

Yes. Many investor loan programs use actual or projected rental income to determine eligibility.

Question 15

Should I buy an investment property in my personal name or an LLC?

Accepted Answer

Both options are possible. The best choice depends on liability, taxes, and long-term investment goals.

J.D. Peck

J.D. Peck Area Manager & Mortgage Loan Originator

Start Here!

Popular Pages

My Contact