Zillow Advice: Housing Market - It just seems like discrimination, if the seller advertises "NO VA or FHA". Especially, for VA. http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ Zillow Advice | Zillow Real Estate Some homes do not qualify ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ Some homes do not qualify for different reasons.&nbsp; It almost surely is not done for discrimination... Tue, 07 Aug 2012 12:13:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-07T12:13:00Z I understand your frustration. ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ I understand your frustration. Anyone wiling to lay down their life for our country deserves red carpet treatment. They definitely don't deserve to be treated like second class citizens.<br/><br/>The reason for this "No FHA or VA" thing&nbsp;originates from the fact that FHA and VA loans have more stringent guidelines about the condition of the property. They will not make the loan unless all "built in appliances" are in and functional, no wires are sticking out of ceiling outlets (such as when someone has removed a ceiling fan, etc), there is no peeling paint (if the home was built before 1978), water heater must work, furnace/heater must be in and functional...and the list goes on.<br/><br/>In my area, there are often homes for sale with the stoves and or dishwashers removed, light fixtures ripped out, paint peeling, etc. Usually, these homes are short sales or bank owned properties where the seller will not or can not&nbsp;make any repairs. These won't qualify for FHA or VA loans because the repairs must be made and checked before the sale closes.<br/>The VA requirememts can be found at <a href="http://www.veteransunited.com/realestate/14-va-appraisal-basics-for-agents/" rel="nofollow">http://www.veteransunited.com/realestate/14-va-appraisal-basics-for-agents/</a><br/><br/><br/>Another instance where you can not get an FHA or VA loan is condominium&nbsp;associations that are not FHA or VA "approved". Here is a site to search for VA approved condos: <a href="https://vip.vba.va.gov/portal/VBAH/VBAHome/condopudsearch" rel="nofollow">https://vip.vba.va.gov/portal/VBAH/VBAHome/condopudsearch</a> Tue, 07 Aug 2012 07:46:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-07T07:46:00Z I've seen many listing agents ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ I've seen many listing agents put "NO VA or FHA" in the listing because they THINK it will not qualify for a VA or FHA loan. Unfortunately, there are plenty of these agents that are completely ignorant as to what will or will not qualify for one of these loans. By advertising a property this way they are doing a major disservice to their seller. VA loans are fairly easy and hassle-free plus I've never had a VA buyer back out (knock on wood). Also, some of the agents doing this are still stuck in the past with old and out of date FHA rules which aren't even in effect anymore (i.e. mandating handrails on stairs). FHA appraisers in our area almost never make any mandatory repair requests anymore. I would seriously wonder what the motivation was behind "NO FHA or VA" in a listing. If it is a condo with a high delinquency rate then "NO FHA" makes sense. Tue, 07 Aug 2012 04:12:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-07T04:12:00Z The home maybe in need of ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ The home maybe in need of repairs to qualify for those loans that the seller is not willing to make. Sun, 05 Aug 2012 05:27:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-05T05:27:00Z "As a seller, you risk longer ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ "As a seller, you risk longer marketing times by eliminating FHA buyers who are a good portion of the market these days."<br/><br/>True, but in a seller's market sellers can choose to eliminate any buyer that they feel as less likely to close, more likely to demand credits for required inspection items or are on the edge of qualifying in that price range.<br/><br/>FHA buyers are fine, but I see no reason to put an FHA buyer at the top of the pile if you also have a buyer with a conventional loan. There is no benefit to me as a seller to have to deal with any additional inspection issues if I have another option. <br/><br/>Excluding FHA/VA buyers in your advertising cuts your pool of buyers so I would not do that upfront, but if you have more than one offer I see no reason not to choose your strongest offer overall. Wed, 01 Aug 2012 23:25:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-01T23:25:00Z I don't know why we are resurrecting ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ I don't know why we are resurrecting a thread from 3/4 of a year ago, since Luke is no longer even on the website...<br/><br/>But if it is not one of the listed "protect classes" for the U.S. Fair Housing Act, or the U.S. Fair Lending Act, it makes no difference if it is discrimination at all.&nbsp; Discrimination is a good thing, and it is perfectly legal and highly encouraged.&nbsp; Just don't discriminate against any of the listed protected classes.<br/> Wed, 01 Aug 2012 22:37:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-01T22:37:00Z If the seller already knows ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ If the seller already knows that it will not qualify for an FHA or a VA loan, either from when they purchased or from a previous prospective buyer, don't they have an obligation to admit that material fact?&nbsp; There are a few cases where those loans may require a major expense/effort to meet a requirement, even if the property is move in ready, and will easily qualify for conventional financing. Wed, 01 Aug 2012 18:58:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-01T18:58:00Z As a seller, you risk longer ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ <p>As a seller, you risk longer marketing times by eliminating FHA buyers who are a good portion of the market these days. The duration in which a property is on the market and the severity, or risk of obtaining a lower price, are affected by being picky about who you sell to.<br/>Inspection issues can be handled if you are working with an experienced lender.</p> Wed, 01 Aug 2012 18:57:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-01T18:57:00Z "Fha and&nbsp;VA loans do ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ "Fha and&nbsp;VA loans do not affect the seller at all."<br/>As a seller I would prefer a conventional mortgage or high down buyer over VA or FHA any day. There can be inspection issues that pop up with both VA and FHA that simply do not apply to buyers with conventional mortgages.<br/><br/> As a seller in a good market, why would I choose to sell to a buyer with a limited down of 0-3.5% or a buyer with more constraints on inspection issues? Wed, 01 Aug 2012 18:47:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-01T18:47:00Z Fha and&nbsp;VA loans do ... http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ Fha and&nbsp;VA loans do not affect the seller at all, it is truly discrimination. Wed, 01 Aug 2012 17:00:00 GMT http://www.zillow.com/advice-thread/It-just-seems-like-discrimination-if-the-seller-advertises-NO-VA-or-FHA-Especially-for-VA/414438/ 2012-08-01T17:00:00Z