Investor · Central Virginia · Member since 2020 · 393 posts · 253 votes
I have noticed that Navy Fed has some interesting loan products. One is a 15% down investment loan. Has anyone ever used this? Another is Vet specific - a 0% NON_VA home loan for owner ocs. It has a higher interest rate, but is 0% down and rolls funding fees into the loan. Has anyone ever used this? Just curious about the company and the products. Thanks!
Lender · Springfield, MO · Member since 2020 · 351 posts · 504 votes
3y
Hi Chris! As a military family, we have used Navy Federal several times for a variety of products. I will say by far their home loan department was THE WORST interaction we have ever had with a bank. Normally Navy Fed is on top of things, they understand military life, and are a pleasure to work with. We've bought several cars with their financing, have some of the their CD's, credit cards etc. No issues. We TRIED to close a VA loan with them (twice! because evidently we didn't get it the first time), and they were terrible. Couldn't get a preapproval letter in under two weeks, we would resubmit documents multiple times, they would lose things, not request the right documents, it was abysmally slow and after 60 days in escrow, the seller was not going to extend again. I'm not sure what the disconnect is in their loan area for home loans, but being unsuccessful at closing a home loan twice with them has made them a no way lender for us for any future home purchases.
We ended up going with another lender and closed the VA loan in 30 days, very easy process, so I know it wasn't us. lol. We had stellar credit, tons of reserves, just W2 income at the time, like textbook borrowers and NF still couldn't get it done lol.
Lender · Houston, TX · Member since 2022 · 3 posts · 1 vote
3y
The 15% is actually in the guidelines, so should be fairly straight forward (most lenders just don't offer it). Navy Fed has decent reviews, hopefully you either know the loan officer or get a good one. Safest bet is to plan to lock the rate a little longer than expected - 45 days? (my experience with USAA anyways).
Lender · Springfield, MO · Member since 2020 · 351 posts · 504 votes
3y
Hi Chris! As a military family, we have used Navy Federal several times for a variety of products. I will say by far their home loan department was THE WORST interaction we have ever had with a bank. Normally Navy Fed is on top of things, they understand military life, and are a pleasure to work with. We've bought several cars with their financing, have some of the their CD's, credit cards etc. No issues. We TRIED to close a VA loan with them (twice! because evidently we didn't get it the first time), and they were terrible. Couldn't get a preapproval letter in under two weeks, we would resubmit documents multiple times, they would lose things, not request the right documents, it was abysmally slow and after 60 days in escrow, the seller was not going to extend again. I'm not sure what the disconnect is in their loan area for home loans, but being unsuccessful at closing a home loan twice with them has made them a no way lender for us for any future home purchases.
We ended up going with another lender and closed the VA loan in 30 days, very easy process, so I know it wasn't us. lol. We had stellar credit, tons of reserves, just W2 income at the time, like textbook borrowers and NF still couldn't get it done lol.
I have noticed that Navy Fed has some interesting loan products. One is a 15% down investment loan. Has anyone ever used this? Another is Vet specific - a 0% NON_VA home loan for owner ocs. It has a higher interest rate, but is 0% down and rolls funding fees into the loan. Has anyone ever used this? Just curious about the company and the products. Thanks!
I've had 4 clients use the 0% down program. By far the most stressful loan process. 45-65 days to close (which is ridiculous in the DC area). I've had to threaten processors and managers with lawsuits in order to get them done and teach multiple "loan officers" how to originate a loan. The only pro is that it is a conventional product which is how I was able to win offers for my clients.
If you want a stress free process don't do it. If you don't mind putting your EMD on the line; then go for it.
Investor · Central Virginia · Member since 2020 · 393 posts · 253 votes
3y
Hi @Justin Lanciault, @Alex Breshears, and @Alex Boeger, thank you all for the comments, I have only heard good things about Navy Fed, it is good to balance out all the love with some actual experiences. I thought they were good options and wanted to see what people's experiences were.