Mortgage Planner, Evergreen Pacific Mortgage, A division of Stearns Lending, Inc.
1 year ago
There is a two part answer to this question. VA Has their guidelines and the market has its own that we call "overlays". First, VA does not credit score. That does not mean they don't have standards, only that they recognize there ae people who have acceptable credit but low credit scores. Second, and perhaps more important, is what the market will accept. Most lenders are now requiring a 640 credit score and a few will accept 620. There are a few lenders that have "portfolio" loans that will lend to the VA guidelines without any overlays. Rates on these loans are higher (typically about a .5 pt) but they et the job done when others say no.