Call today to get started: 866-435-6553 toll free

Call the Government Loan Pros today to get started: 866-435-6553 toll free, or click  get started online here – Your Source for Tennessee VA & FHA Loans.  –  Your Source for Tennessee VA & FHA Loans.

For many Tennessee Families,  our number one dream is owning your own home.   We are here to help you reach your goal of home ownership.

Whether you want to purchase your first home, a larger home, or refinance your current mortgage,  we are here to help.

We are your Source for Tennessee Government Loans:

  • FHA
  • VA
  • FHA Jumbo
  • VA  Jumbo
  • USDA Rural Development
  • FHA & VA 2-4 Unit Loans
  • First Time Homebuyer Loans

We offer FHA, VA, USDA, Conventional, Jumbo, Fannie Mae and Freddie Mac home loans – we offer many options to help you get the keys to your very own home.   VanDyk Mortgage is a Direct Lender offering FHA Loans and VA Loans Direct to you.  Vandyk Mortgage Corp is approved by HUD with Full Eagle Direct Endorsement status, the highest level of HUD Approval for a Lender.

The first step in the Home Purchase process is to get pre-approved with one of our Government Home Loan Professionals.  This process will give you the confidence of a cash buyer.   We will help you determine what you can comfortably afford.   In a short time, you will be on your way to making your first offer on the home of your dreams.

Our Government Loan Pro’s will work with you direct to qualify you for the mortgage loan that best meets your needs.   We prefer to offer a more personalized approach with our clients.   Our goal is to create a smooth, stress-free loan process for you.   Our Team members will help you determine the right loan program, how much you can afford, help you get Approved, and keep in contact throughout the process.

If you currently own a home and would like to explore a refinance to reduce your interest rate, or get cash out,  you’re at the right place.   There are many loan programs that may be able to help. We will help you find the right one, whether it’s VA, FHA, Jumbo, or Conventional.  You can reduce your interest rate, pay down your loan balance quicker, consolidate debts, or get cash to use toward a dream vacation, home improvement, college tuition.

Contact us today for help with any questions you may have or to get started.


You can get a USDA Rural Development loan in less than three years after a foreclosure

One of the problems facing Tennessee home buyers looking to purchase their home after a foreclosure is the amount of time the banks often take to complete the foreclosure process and actually retake possession of the property.  Although the foreclosure process may have started three years or more ago on their Tennessee home, the bank  may have not completed the process for one, two or in the case with a recent client the bank  waited three years to complete the process.


The difficulty with this reality is that in most cases the Tennessee USDA Rural Development underwriting guidelines require the three year waiting period following the completion of the foreclosure process, meaning that the bank has retaken possession of the home.  Thus, if the bank waits two or three years to complete the foreclosure process  on a home, the Tennessee home buyer would have to wait the two or three years for the completion of the foreclosure process and then wait an additional three years before they are eligible for a Tennessee USDA Rural Development loan.  The wait can be as much as six years or more due to the bank’s delay in completing the foreclosure process.


However, there is an exception to the rule that requires the three year waiting period to begin after the foreclosure process has been completed.  In situations where the home that has been foreclosed was included in a bankruptcy, the bankruptcy waiting periods require required for a Tennessee Rural Development loan takes priority over the foreclosure waiting period.   The benefit of this exception is immense for home buyers.  While the foreclosure process can take years to complete to complete, the bankruptcy process can be completed in just a few months.  So, although the Rural Development waiting period for both a foreclosure and bankruptcy are both three years, the three year waiting period on the bankruptcy begins as soon as the bankruptcy is discharged while the waiting period on a foreclosure can take years to begin.


The result is that home buyers that had a foreclosure that was part of a bankruptcy will be able to qualify for a Tennessee Rural Development loan much quicker than those borrower’s that had a foreclosure that was not part of a bankruptcy.


Call VanDyk Mortgage today at 865-686-8711 to answer your questions about a USDA Rural Development Loan.



What are the FHA Loan Limits in Nashville TN

The FHA loan program has been a key component to the housing recovery we have seen and are currently seeing.  The FHA loan program provides home buyers with unique situations as well as past credit problems  an alternative to the restrictive and often unavailable conventional loans.  However, the FHA loan program does have lower loan limits than conventional loans. Home buyers that ask, What are the FHA Loan Limits in Nashville TN will be happy to learn that  while conventional loans in the Nashville Tennessee area are available up to loan amounts of $417,000 for single family homes, the FHA limit is $393,000 which is $24,000 lower.  The Nashville market does enjoy a higher FHA loan limit than the rest of the state of Tennessee which is limited to a FHA loan limit of $271,050.


It is a good idea to get pre approved prior to beginning to look for a home to purchase with your FHA loan. While the FHA loan will allow for many more buyers to qualify for a home loan than the conventional loans you never know how the underwriter will view some of the issues. Given that the details in everyone’s situation is different, it is possible where the underwriter may be able to approve one loan with a past credit problem and not another.

This is one of the reason’s that VanDyk Mortgage decided to offer the Fast Forward loan approval. You can submit your file to underwriting for a full review and then shop with confidence, knowing that you can obtain financing for your new home once the underwriter has approved your FHA loan application.


FHA Loan to Help Homebuyers

Easy Loan Approval with an FHA Loan

One of the most popular loan programs for Tennessee home buyers is the FHA loan program.  It is so popular due to relaxed guidelines when compared to conventional guidelines.

FHA is the Federal Government’s answer to Private Mortgage Insurance or PMI.  FHA does not make loans; instead they insure the loan, therefore eliminating much of the risk from the lender if the borrower should default on the loan.  If that did happen, the lender would make a claim against the FHA insurance on the loan to recover their losses.

Below are some of the elements that allow the FHA loan program to enable many Tennessee homebuyers to realize their dream of owning a home.


The media is full of commentary stating that one must have perfect credit in order to obtain a home loan in today’s market.  This is not true.  Typically one only needs to have a middle credit score of 640 or higher in order to meet the FHA credit score requirements.  Actually the minimum score set by FHA is much lower, but the lenders that make the FHA loans require the higher minimum score of 640.

FHA is also more forgiving and understanding of past credit issues for Tennessee home buyers.  Items such as bankruptcy or foreclosures which would prevent one from obtaining a conventional loan for up to seven years can be overcome in as little as 1 year for an FHA loan.

  • Chapter 13 Bankruptcy-1 year since file date (actually can get approved while still in bankruptcy)
  • Chapter 7 Bankruptcy-2 years following discharge
  • Short Sale- No waiting period in some circumstances (no late payments and the sale made due to borrower moving from the area for a work related move.
  • Foreclosure- 3 years

You can also overcome other credit issues that did not result in bankruptcy or foreclosure  in as little as 12-24 months  if you have re-established  a good credit  history.


Employment in the same field or same line of work is needed to qualify.  However, it is not required that you have the same job just that you are in the same or related field.  There are also exceptions in cases where you were able to move into a better field.

If you have been in school in the last 2 years, graduated and are employed in your field of study, then the time in school can be considered as “time on the job” and be used to satisfy the 2 year requirement.

Debt to income ratio:

Debt to Income, often referred to as DTI,  is related to your employment history.  While a consideration of your employment history will determine how much of your income can be used to qualify for a FHA loan, the DTI will use that number to make sure you can afford the monthly payment.

The old standard guidelines  for Tennessee FHA loans were 29/41 although that has been recently increased to 31/43.

This means that the total mortgage payment (principle, interest, taxes and insurances) should not be more than 31% of your gross monthly income, and that your mortgage payment AND all other monthly debt payments  (this does not include utilities such as lights, phone, cable ect..) not exceed 43% of your gross monthly income.

Although the guidelines state that maximum DTI in Tennessee  is 43%, it is possible and is common to see loans get approved with DTI of 55%

Down Payment

One of the biggest hurdles to Tennessee home buyers  is saving up for the  down payment.  Most conventional or bank loans require a larger down payment and mandate that the money come from your own funds.

FHA is beneficial because it only requires you to have a 3.5% down payment, and FHA allows the entire amount of the down payment to be given to you as a gift by a family member.  None of the down payment is required to come from your savings.

Parents, Grandparents even employers are allowed to give you a gift for the down payment.

Get Fully Pre Approved

I specialize in Government loans and love the flexibility offered by the FHA guidelines in helping Tennessee buyers like you purchase their new home .

Call me today at 865-686-8711 and I will help you get pre-approved for the purchase of your new home.

FHA Loan Limits in Tennessee for 2014

Each year the Federal Housing Administration reconsiders the loan limits for each city County and City in the state of Tennessee.  While most of the areas of the country share the same FHA loan limits, there are areas that are considered high cost areas based on the home prices in the region, and those housing markets will have higher loan limits set by FHA than the rest of the country.

For 2014 all the areas of the state of Tennessee with the exception of Nashville Metro area have the same FHA Loam Limits.


2014 FHA Loan limits for state of Tennessee

Single family homes the limit is $271,050

Duplex’s have a FHA loan limit of  $347,000

Triplex or three units have a loan limit of $419,425

Fourplex units have a FHA loan limit of $521,250


2014 FHA Loan limits for the Nashville Metro area  

Single family homes the limit is $393,300

Duplex’s have a FHA loan limit of  $503,500

Triplex or three units have a loan limit of $608,600

Fourplex units have a FHA loan limit of $756,350


For help with your FHA Loan,  be sure to call the pro’s at VanDyk Mortgage at 866-435-6553 toll free direct.  VanDyk Mortgage is a HUD Approved DE Lender,  the highest level of FHA Approval.

Oak Ridge VA Loans, VA Lender for Oak Ridge Tennessee

Oak Ridge VA Home Loan Benefits local veterans in new home purchase.

The VA Home Loan benefit is a great opportunity for Oak Ridge Veterans and Active Duty Military to purchase a home or condo. We thought it would be a good idea to quickly review the benefits of VA Loans, and a few ways to make sure you get the best use from them.

VA Loans require zero down payment up to $417,000 in Oak Ridge.

  • VA Loans – zero down payment required up to $417,000
  • VA Jumbo Loans – Low down  payment required on loans greater than $417,000

Oak Ridge VA Loans are available up to $417,000 with zero down payment required. The Oak Ridge VA Loan Limit in 2012 is $417,000.

However, Veterans are not limited to the Oak Ridge Loan limit of $417,000 for VA Loans.   We offer VA Jumbo Loans with the appropriate down payment to reach the VA Guarantee requirements of 25% of the loan amount. This means that if you buy a home for $517,000 or $100,000 over the loan limit, you would need a down payment of 25% of the amount over the limit, or in this case $25,000.  This allows you put purchase a $517,000 home with a down payment of less than 5%.

Here are a few ways to use your VA home loan Benefit in Orange County to purchase a home:

  • VA Loan to Purchase a single family home up to $417K with zero down payment and no MI
  • VA Loan to purchase a Condo in Knoxville and Oak Ridge – up to $417K with zero down payment or MI

VA Home Loan info for Oak Ridge, Tennessee:

  • Active Duty Military and Veterans can both qualify
  • 100% financing up to $417,000
  • Available up to $1.5M with suitable downpayment/Equity in home
  • VA Loans require no Mortgage Insurance
  • VA Loans do require a VAFF (VA Funding Fee), which is usually financed
  • Veterans with a 10% VA disability are exempt from  VA Funding fee
  • VA Loans are not just for first time homebuyers
  • VA Jumbo Loans are offered at competitive rates that will surprise you, in a good way.
  • VA Loans allow sellers can pay up to 4% of the VA Buyers closing costs
  • VA Loans can be used to purchase VA Approved Condominiums with zero down

Bill McDonald is your source for VA backed Condo loans.   We also do not have a waiting period for “flips”.   This is often called the Flip Rule or VA Flip Rule .   VA does not require the seller of a property to wait 90 days before allowing a VA buyer to purchase the property, only 1 day.

We are a Proud VA Direct Lender. We have been making FHA & VA loans since 1989. We are a HUD recognized Full Eagle FHA DE underwriter and FHA Direct Lender. Go with us, go with the Government Loan Pros.

Visit us at or call Bill McDonald direct at 865-686-8711 for help with your VA or FHA loan.

Go with the Government Loan Pros. Visit us at call Bill McDonald direct at 865-686-8711 for help with your VA loan. We serve the entire state of Tennessee; East Tennessee, Middle Tennessee and Western Tennessee.

Bartlett, Bristol, Chattanooga, Clarksville, Cleveland, Collierville, Columbia, Cookeville, Crossville, Fairfield Glade, Franklin, Germantown, Hendersonville, Jackson, Jamestown, Johnson City, Kingsport, Knoxville, Memphis, Morristown, Murfreesboro, Nashville, Oakridge, Smyrna

Relocating to Tennessee – Tips for a Smooth Home Purchase

Relocating to Tennessee – Tips for a Smooth Home Purchase

When relocating to Tennessee from out of state, or even relocating with Tennessee, it is important to plan your new Home Purchase.    We have a few tips to help make the process easier on the Home Loan Process.    The first step is the determine what type of Home Loan is best for your new Tennessee Home Purchase.    We suggest contacting us prior to your move, so we can discuss Loan Options such as VA, FHA, Conventional Loans with low downpayment,  USDA, etc.   We will help you find the best fit for your individual situation and get Pre-approved.   The next step is to collect all of your paperwork for the new loan.   We will review it thoroughly and prepare your Loan Pre-Approval.

Tip ~ We suggest that you place your paperwork in a special area,  separated from the packing boxes related to the move.   If you access or store your documentation on your computer, keep that separate from the Moving truck as well.    This way you will know where to find the paperwork when it’s needed.   

We can help you with a variety of Home Loan options – VA,  FHA, Conventional, Conventional loans with as little as 3% down, USDA (in eligible areas), and Jumbo Loans.  We will help you determine how the disposition of your current home effects your purchase options in Tennessee.   For instance, it is OK to have more than one FHA Loan in qualified circumstances.    You may be able to use the Rent Income on your current home to help qualify for the new home as well.

We are proud to help families plan their Relocation to Tennessee and assist in any way possible.   From providing strong Loan options to helping find a qualified Relocation Realtor,   We are here to help.


USDA Rural Development No Down Payment Required in Tennessee

One of the little known benefits of buying real estate in the suburbs, the smaller towns and rural areas outside of  Tennessee,   is that homes in most of these areas qualify for the USDA-Rural Development Zero Down Payment Home Loan   That means that under the guidelines of this government-backed mortgage program, the Tennesssee home buyer  buy a home without having to  make a down payment nor are they required to have a  large monthly private mortgage insurance premium payment.

On a $150,000 home, the savings is two-fold:

(1). First, Tennessee borrowers saves $5,250 compared  to the down payment  required  for a FHA loan  (3.5%)

(2.) Tennessee USDA Rural Development  Mortgage save home  buyers  $115/month in MI (monthly mortgage insurance).  The FHA monthly premium would be $150 while the RD cost only $35


These savings make Tennessee RD Home Loan program a great opportunity for first time homebuyers; helping them qualify for more home for less money.

There are however three main requirements for qualifying for the Tennessee Rural Development Loan

(1) The borrower must not exceed the annual household income requirements (example. a family of 1-4 must not exceed a household income greater than $74,050 per year.)  I recommend a  quick phone call to discuss your ‘total household income’ under USDA guidelines.

(2) Second, the borrower must purchase a home in a USDA-RD approved region.  I have provided a link where you can by-pass the map and type in the physical address to get instant verification – CLICK HERE to verify a USDA eligible address.

(3) USDA Credit Score Guidelines. The USDA program is about as “flexible” as any home loan program available today. In some cases, borrowers may even qualify with collections or  a recent bankruptcy.

Many Tennessee home buyers mistakenly believe that days of No Down Payment or Zero Down home loans are gone.  The USDA Rural Development Loan will help many buy a home that thought that dream was out of reach because they did not have the money for the down payment.

If you are interested, I offer all of my clients a Free No Obligation Mortgage Credit Analysis to formulate a clear game-plan for the purchase their new Tennessee home.

FF Approval