Cal Vet Loans

[Janis]

Has anyone had any experience with Cal Vet Loans? We have qualified for a 4.5 interest rate, using our acreage as a down payment. Our Skyline dealer told us about a bad experience he had with Cal Vet and really encouraged us to get another lender. The county we will be dealing with is notoriously difficult (Riverside, Calif.). He felt that working with Cal Vet also would be an awful combination. Also, Cal Vet said we have to have a general contractor oversee the entire development. We had hoped to job out what we needed to( well repair, grading, etc) and do what we could ourselves (propane/septic, etc.). Our dealer will only oversee the house and utilities to it. Thanks.

[rmurray]

I am not real familier with this lender...but if they are in the VA loan business...rules are very extensive...I doubt they would allow much sweat equity of homeowner supplied land developement....but the rate is great if the 4.5% is what you can get..

If there is no construction loan..I can understand your dealers reluctance..Do they offer a construction loan..If not..you may have to try to find one....

It might be better to finance the home with a different lender..build it to Cal VA specs..then as soon as it is complete refi with Cal VA...This way they will only be looking at the finished product..and refi the same as any other home...

Maybe someone else here has direct experience with this lender..

[rmurray]

I checked out the web site for the Cal Vet program...WOW...sounds like a great program for you...Also..they offer a 1 time close construction loan that should satisfy your dealer...

The rate and closing costs are soooooo low that you should go by their rules and use this program..Remember this is a government agency..argueing is a waste of time....Do it there way....and you will have a great deal..

They have a few good deals in repossessed homes..I saw a manufactured home and lot in Janesville...where ever that is...for only $63,000...of course the lot was small....3900 sq ft...1/10th of an acre...but for CA sounds cheap..

This lender will do single and double sections in parks as well..with 3% down and at 5.25% fixed rate....WAY GOOD DEAL for those wanting to be in a park...or to help sell a home in a park....

Good Luck

[Janis]

Thanks for your input, Murray. We were thinking that the extra paperwork and aggravation would be worth it in the long run. The one complication is that Cal Vet requires a General Contractor to oversee the entire project. ( we are still checking into the amount of involvement.)

Our dealer is willing to do the home+utilities, but not be the General for the entire project. His one previous negative experience with Cal Vet (the deal fell through) was totally different from our situation. My husband spoke with a friend who is willing to be the figurehead General Contractor. Basically for the loan we just need a General to cosign the draw checks and siphon the money through.