VA Modernizing by Allowing Gay Couples to Get Mortgages
For years, the Veterans Administration only allowed single people individually or married couples to get a mortgage. If you were “living in sin ” heterosexually or gay, you could not get a mortgage like others that have served. Still, the VA will not allow unmarried couples to be on their guaranteed loans. In some states, you can have other people on the deed but the mortgage would only be for the veteran.
The good new is that gay, married couples are making progress.
I just received this directive from one of my wholesale lenders:
Interim Process for Determining Spousal Income Qualifications in Jurisdictions that Recognize Same-Sex marriages
The VA will now review loans submitted by married same-sex couples to determine, on a case-by- case basis, whether same-sex married couples can use both spouses’ income to qualify for a VA loan.
Lenders receiving loan applications from same-sex married couples must forward the documentation listed below to the appropriate VA Regional Loan Center (RLC) for review. Note: most of the information required below is provided on a marriage license/certification so at a minimum, those documents should be requested from married same-sex borrowers at application.
1. Date and state of marriage;
2. State of residence at time of marriage;
3. State where subject property is located;
4. Current state of residence; and
5. Estimated date of closing.
After review, RLC VA staff will notify the lender if both spouses’ incomes may be used. If so, lenders should process loans in as “Sole Ownership”, as they would loans made to opposite-sex married couples. If the review is not approved to recognize the same-sex marriage, the loan must be processed following the “Joint Loan” process.
Same-sex marriage is legal in the following states: CA, CT, DC, DE, IA, MA, MD, ME, MN, NH, NY, RI, VT and WA.