Posted on Feb 8, 2018
If my house is financed by VA and I have suddenly had bad foundation damage, is there a way to get the VA to assist?
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I have a Vet in our program over $20k quotes to repair and lawyers say thousands to fight. He is young and trying hard in our program to better himself. I’ve never financed through VA but assume if the closing documents listed no damage and now some is showing up he should have some sort of assistance. Just want to point him in the right direction.
Posted 8 y ago
Responses: 42
We are in the same boat.
Just after 24 hours of getting our keys, we had flooding. Our house is falling apart and only been in the house for 4 months.
Just after 24 hours of getting our keys, we had flooding. Our house is falling apart and only been in the house for 4 months.
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At 69 years old, I’m living in my second home financed through the VA loan guarantee program. As per VA home loan regulations, both my previous home and now this one were required to undergo stringent inspections.
You don’t mention how long ago the Veteran in the House with structural damage purchased his home, or if there have been any acts of Mother Nature - like earthquakes - since he made the home purchase. Assuming there have been none, I would wonder if the Veteran would have legal recourse against the VA housing inspector?
You don’t mention how long ago the Veteran in the House with structural damage purchased his home, or if there have been any acts of Mother Nature - like earthquakes - since he made the home purchase. Assuming there have been none, I would wonder if the Veteran would have legal recourse against the VA housing inspector?
No, unfortunately, the VA Loan Guaranty covers the loan in the event of a foreclosure, waives the 20% downpayment and need for mortgage insurance(FHA) and pretty much that's about it.
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SSgt Terry Jenkins What needs to happen here is to determine whether the seller told the truth/whole truth...(look at your real estate contract and check out the "disclosure."..... and then put a claim into USAA...if USAA determines this is a pre existing issue, then you can actually put a claim in through this guys insurance company since it happened during/while the seller owned the property....hopefully, the seller had insurance on the property...if he had a note on it, he would have had insurance on it.
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As I understand it the VA does not finance homes. They guarantee the loans. In any case the lender has no responsibility in this situation.
Was there a home inspection accomplished prior to the purchase? There might be liabilities for the inspector if he failed to note a significant defect.
Was there a disclosure statement?
What are the state laws?
Short of an earth quake or sink hole this sort of damage does not appear overnight. It takes time.
How long since the house was closed?
As you can see there are a lot of questions and I would start with a home inspector to fully understand the problem. Then use the attorney. Without an attorney the homeowner will not be taken seriously, if there is a case at all.
I only speak for experience as one who has owned and been around homes and the industry. I carry no legal or professional credentials just experience. Good luck.
Was there a home inspection accomplished prior to the purchase? There might be liabilities for the inspector if he failed to note a significant defect.
Was there a disclosure statement?
What are the state laws?
Short of an earth quake or sink hole this sort of damage does not appear overnight. It takes time.
How long since the house was closed?
As you can see there are a lot of questions and I would start with a home inspector to fully understand the problem. Then use the attorney. Without an attorney the homeowner will not be taken seriously, if there is a case at all.
I only speak for experience as one who has owned and been around homes and the industry. I carry no legal or professional credentials just experience. Good luck.
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Regardless of what VA or realtor will do you should check with your state about insurance fund realtors have to pay into. It is a fail safe plan that protects the buyer against just this scenario. The seller and realtor have to divulge any problems, even if someone died in the house before. The state pays off if the seller or realtor can’t, or won’t, pay.
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When considering purchasing a home, and the financing is through the VA or other lenders, one of the first things is to have the building inspected by a certified inspector/company. If the inspection is passed, then continue with the closing. A VA Resource Officer can re-check all documents to ascertain if the possibility of damage occurring. It cannot be assumed if no damage or possibility of damage. It indeed such possibility existed by document proof, the VA can bring pressure on the Building Inspector/Inspecting Company as to why the inspection document was signed off as "passed", and to assist in the financial repair. The VA can also assist in providing a second certified inspection to solve the issue. Sadly, there are building inspectors/company that work with real estate companies to expedite the sale/closing of the home. My best wishes go to the vet having this problem.
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First things first, you're aiming at the wrong target. Neither the lender nor the VA have any responsibility in the state of repair of your house. That being said, you would have to answer the question, "Did the seller of the house know about this BEFORE the closing of the sale?" And, can you prove it. If you can prove that the seller knew or should have known and did not disclose it in accordance with the real estate laws in your state, the sale could be nullified if the sale is no older than 3 days. But, that's it unless the nullification inspires the seller to be generous and make the repairs in lieu of having to pay all of that money back.
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