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But it brought the mortgage process to a screeching halt just days before closing. We specifically asked them about it when we applied for the loan, Melinda explained. We knew a lot of lenders were requiring cash reserves these days, so we asked them point-blank.
The loan officer told us no, there arent any cash-reserve requirements for VA loans. We moved forward based on that. Both borrowers had excellent credit scores above 800.
They also had a flawless, ten-year history of paying their debts on time. They had more than sufficient funds to cover their closing costs and down payment. They were, by most standards, well-qualified borrowers.