Up until about ’92, some “VA no-no” transactions WERE successfully completed in areas of SD County where the majority of home-shoppers were in the military or retired vets. HOWEVER, a nice 4/2+/2+ SFR with a decent-sized yard only cost from $73K (lower “enlisted” area) all the way up to $160K (senior “officer” area) back then. Thus, the funding fee (paid fully or partially by sellers) was much less than what would be asked of them now :=0
Often, the buyer’s and seller’s agents ended up splitting the buyer’s funding fee with the seller just to close a (frequently 100+ day escrow) “VA no no” deal … especially if the VA appraisal came in lower than the agreed-upon purchase price :=0
