Hipchickindc is a licensed real estate broker. She is the founder of 10 Square Team and is affiliated with Keller Williams Capital Properties. 10 Square Team is a popville.com advertiser. Unless specifically noted, neither she nor the company that she is affiliated with represented any of the parties or were directly involved in the transaction reported below. Unless otherwise noted, the source of information is Metropolitan Regional Information Systems (MRIS), which is the local multiple listing system. Information is deemed reliable but not guaranteed.
Featured Property: 3028 Sherman Ave NW
Legal Subdivision: Columbia Heights
Advertised Subdivision per Listing: Columbia Heights
Bedrooms: 4 Baths: 3.5 Basement: Yes Parking: Brick Driveway
Type of Ownership: Fee Simple
Living Area Square Footage Per Tax Record: 1050
List Price at Contract: $599,990.
List Date: 07/18/2013
Days on Market: 18
Settled Sales Price: $609,000.
Seller Subsidy: $17,670.
Settlement Date: 08/16/2013
Bank Owned?: No Short Sale? No
Original GDoN post is: here.
The listing can be seen: here. To see pics, open the link above and click on the camera icon to scroll through pics.
This property settled with a VA loan, which means that it was purchased by a Veteran with a loan backed by the Veterans Administration. I have seen way more contracts with VA loans within the past year than I have in the whole twelve plus years that I have been representing buyers and sellers of real estate in DC. I have heard the same thing from many agents in the area. Unfortunately, listing agents are often leery of VA loans.
Because VA allows buyers to put 0 cash as a down payment, they don’t hold up well in competitive situations, where other buyers may be financing with 20% or more down. VA requires that properties be in good condition, so repairs may be required by the bank regardless of whether the required repairs were of concern to the buyer or not. VA does not allow the buyers to pay for their own termite inspection, which is an odd quirk (and I’ve never had a seller object to the $37.10 cost).
The biggest challenge for VA buyers in DC (aside from competing against conventional loans on properties that receive multiple offers) are that most condo associations in DC have not gone through the approval process, which is similar but separate from FHA approval. If you own a unit in a condo building, you may want to suggest to the board that they consider going through the approval process. Being a VA approved condo is now a great selling point. Single family homes do not need to go through and approval process, and VA loans can be used to finance multi-unit buildings for an owner occupying eligible veteran.
As a listing agent, I’ve had good experience with VA contracts so far this year. Hopefully, they will become more accepted as agents become increasingly familiar with them.
The listing agent was Jay Bajaj of Samson Properties. Mary Illes of Century 21 Redwood Realty represented the buyer.