HOA doesn't permit VA financing?

[Ken B]

My wife works with someone who is (was) trying to purchase a house using their VA benefits. She says the coworker reports that the deal fell through because the HOA does not permit VA financing. Has anybody heard of such a thing? I'm thinking it more likely the coworker just didn't qualify to buy the house and is trying to save face.

 

[Ken B]

FWIW, it is not a condo. It is a SFR.

 

[Michigan CG]

I would imagine if that were true that HOA could find themselves in hot water with the Feds for multiple reasons including discrimination.

 

[hastalavista]

Does VA require the specific condo to be approved in order for its financing?
I'd believe that (or the face-saving story) before I believe that an HOA would (or legally could) somehow block VA financing.

 

[gregb]

Good question Denis. Yes VA has a list of approved condo projects:

https://vip.vba.VA.gov/portal/VBAH/VBAHome/condopudsearch

Edit to ad, it looks like Ken says it is not a condo.

 

[Ken B]

It is not a condo. Hence, Post 2.

 

[hastalavista]

It is not a condo. Hence, Post 2.

Sorry; a little under the weather. Missed what you clearly posted ( I read it the wrong way).

 

[Ken B]

No problems. Get better!

 

[timd354]

I do

My wife works with someone who is (was) trying to purchase a house using their VA benefits. She says the coworker reports that the deal fell through because the HOA does not permit VA financing. Has anybody heard of such a thing? I'm thinking it more likely the coworker just didn't qualify to buy the house and is trying to save face.

I doubt that is the case...more likely the loan was declined for some other reason. Additionally, there is no way that an HOA could enforce such a restriction and would get sued silly if they attempted to do so.

 

[CigarDad]

Perhaps it was the other way around. The VA did not like the owner occupancy ratio of the development.