Does anybody know what happens to my VA loan after I die?

[Ann Fann]

I am married and have a VA guaranteed mortgage on my house. Recently I was told that if I die my wife has to refinance with a conventional loan. I had always thought she would simply continue making the payments and everything would be okay.

Does anybody know anything about this? As I remember, she is co-owner of the home but not a co-signer on the loan.

[AZ Jim]

I am married and have a VA guaranteed mortgage on my house. Recently I was told that if I die my wife has to refinance with a conventional loan. I had always thought she would simply continue making the payments and everything would be okay.

Does anybody know anything about this? As I remember, she is co-owner of the home but not a co-signer on the loan.

A surviving wife can continue with her husbands loan! https://www.military.com/money/va-lo...g-spouses.html

[Peter1469]

I am married and have a VA guaranteed mortgage on my house. Recently I was told that if I die my wife has to refinance with a conventional loan. I had always thought she would simply continue making the payments and everything would be okay.

Does anybody know anything about this? As I remember, she is co-owner of the home but not a co-signer on the loan.

I believe it will have to be refinanced in her name, but the VA offers the refinancing options. See here. Also go to the VA website and ask the question in your subject line of the FAQs search feature. She is also free to go to any lender she wants, some banks have VA like loans which can be better than the VA.

Since she is a co-owner she should be able to refinance ASAP once you pass. Just don't miss payments or you risk foreclosure. Does she have an income stream of her own? Do you have life insurance (which will be paid out to the beneficiary quickly once they get a copy of the death certificate)? Are your bank accounts also in her name or she she a beneficiary upon death? Do you have a will or a living trust?


Just insure she has enough cash up front after you are gone. Try to avoid probate if possible. That take a long time. Hiring a lawyer to handle probate costs about the same or a bit more than getting a revocable living trust and paying for it now- and with the trust there is no probate, so your estate passes much faster.

[Ann Fann]

A surviving wife can continue with her husbands loan! https://www.military.com/money/va-lo...g-spouses.html

I read that, that one sounds like veterans widows who want to take out their own VA loan in the event of an active duty veteran's death.

[Peter1469]

A surviving wife can continue with her husbands loan! https://www.military.com/money/va-lo...g-spouses.html

Based on the article there are strict requirements.

[Ann Fann]

I believe it will have to be refinanced in her name, but the VA offers the refinancing options. See here. Also go to the VA website and ask the question in your subject line of the FAQs search feature. She is also free to go to any lender she wants, some banks have VA like loans which can be better than the VA.

Since she is a co-owner she should be able to refinance ASAP once you pass. Just don't miss payments or you risk foreclosure. Does she have an income stream of her own? Do you have life insurance (which will be paid out to the beneficiary quickly once they get a copy of the death certificate)? Are your bank accounts also in her name or she she a beneficiary upon death? Do you have a will or a living trust?


Just insure she has enough cash up front after you are gone. Try to avoid probate if possible. That take a long time. Hiring a lawyer to handle probate costs about the same or a bit more than getting a revocable living trust and paying for it now- and with the trust there is no probate, so your estate passes much faster.

I got this answer from a friend who used to be in the banking business, I was hoping it would be different. Being as how my wife is on SS (plus she would have my SS) refinancing on her own might be problematic. I was thinking that I should refinance with a conventional loan ASAP adding her name to the mortgage. My will is pretty straightforward, she gets everything, including savings, 401K, and insurance.

[Peter1469]

I got this answer from a friend who used to be in the banking business, I was hoping it would be different. Being as how my wife is on SS (plus she would have my SS) refinancing on her own might be problematic. I was thinking that I should refinance with a conventional loan ASAP adding her name to the mortgage. My will is pretty straightforward, she gets everything, including savings, 401K, and insurance.

In that case you need to talk to a lawyer who specializes in estate law and specifically with people who are on SS, Medicaid, SSI, etc. There are ways to maintain your benefits you just got to pay to get the correct paper work done.

[Ann Fann]

In that case you need to talk to a lawyer who specializes in estate law and specifically with people who are on SS, Medicaid, SSI, etc. There are ways to maintain your benefits you just got to pay to get the correct paper work done.

Good idea, thanks. I'm not planning to check out anytime soon but I would like to retire and I need to get my ducks in a row while I am still working.

[Mini Me]

I got this answer from a friend who used to be in the banking business, I was hoping it would be different. Being as how my wife is on SS (plus she would have my SS) refinancing on her own might be problematic. I was thinking that I should refinance with a conventional loan ASAP adding her name to the mortgage. My will is pretty straightforward, she gets everything, including savings, 401K, and insurance.

Why bother with a refinance when she can get a Reverse Mortgage, and the loan is paid off, and you end up with a large amount of cash and/or a line of credit? I f she is 62 or older.

[stjames1_53]

Why bother with a refinance when she can get a Reverse Mortgage, and the loan is paid off, and you end up with a large amount of cash and/or a line of credit? I f she is 62 or older.

you still have to watch many of these that do reverse mortgages. Make sure, if you decide this, to read the fine print. Sometimes the surviving spouse gets screwed.