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Real Talk with Sterling Real Estate Group is your go-to resource for all things real estate. In our episodes, we break down the latest market trends, share insider tips, and provide expert insights to empower your property journey. Whether you're buying, selling, building, or investing, we're here to help you navigate the dynamic world of real estate in New York's Capital Region and beyond. If you have any questions or topics you’d like us to cover in a future episode, we’d love to hear from you! Reach out to us at info@sterling518.com.
Lisa Licata
Welcome to today's episode of Real Talk. I'd like to welcome Michelle Viola-Straight, Executive Director of Military Home Loans from ClearPath Mortgages. Michelle, welcome. We're excited to have you here today.
Michelle Viola Straight
I am so excited to be here. Thank you for having me.
Lisa Licata
Absolutely. So why don't we get started before we dive into the VA loans. Tell us a little bit about yourself and how you got to ClearPath and how you do what you do.
Michelle Viola Straight
It was definitely a long road. I got involved with veteran services and housing about 25 years ago. I have two sons that are actively serving our country. Wonderful. And I did veteran housing for many years. I've been a liaison for the FBI. I'm a state trainer for New York State for VA benefits.
I work hand in hand with the VA. So my path to ClearPath was very, very clear. I started working with them with the VA home loan benefit because my oldest son actually utilized them when he bought his first few I remember you were telling us when you came in for one of our meetings, that was a pretty impactful story. It was huge, huge. It was the worst scenario ever. He was deployed.
There was such a break in information and it went seamless. And this was way before I was even involved to a ClearPath. So I was so impressed that I brought my skill set over so we can start helping more veterans and more services utilize this amazing benefit.
Lisa Licata
You know, so that's a perfect segue, right? Let's talk about the misconceptions. I've been an agent for 26 years in the field and doing VA loans. And I know there are a lot of misconceptions out there. So tell us, like, how can we just get rid of those misconceptions and where do they go for trustworthy information?
Michelle Viola Straight
So that's a great question. Definitely ask. So to speak. A few of the biggest myths that there are are a lot of folks will say, well, you know, I'm saving my VA benefit. OK, for what?
Why are you saving it? Saving it, why? Like use it, use it. You can use it multiple times. And I think that's one of the biggest misconceptions is that people think it's a one-time benefit. I can only use this once and that's it. You can use the VA loan multiple times. It's an amazing benefit that they created that's very open-ended, ironically.
Lisa Licata
And you know, that is probably one of the biggest ones. Because I, you know, representing some buyers and VAs and they said I can only use it once and...
So how can we get that word out there when veterans are looking for homes? How can we more get the word out to them to squash these misconceptions?
Michelle Viola Straight
So education. See, if you were thinking of buying or selling a home, align yourself with people in the field that understand the benefit, that know how to navigate the benefit. Doing informational sessions like this is wonderful because you're able to reach those veterans and active duty members that, you know, they don't have the time to research and look into it. They're going to rely on friends and neighbors and people in the community that they trust. Right, that have to be educated so they are getting the correct information.
Lisa Licata
And obviously, they can call you and we'll be sure to post your contact information. So if anybody has any questions, they can get a hold of you. So let's talk about understanding the benefits. For veterans who may not be familiar with the VA loan, can you walk us through the key benefits and explain why it's probably one of their best options to utilize?
Michelle Viola Straight
So the VA benefit is literally one of the best mortgages out there. And it's a benefit. It's not a loan. It's not like, you have a VA loan. It's a VA home loan benefit. And the reason being is because an average civilian cannot access this. The little trick is also not a trick, as well as a veteran or active duty, their widows could use this benefit as well. So it's passed along if that person was killed in action or if they were separated and not remarried, you could actually reuse this benefit as a partner as well.
Lisa Licata
Okay, that's interesting. That I did not know, and I'm sure a lot of people out there may not have known that. So that's an excellent tip.
Michelle Viola Straight
So the benefit, it's very clear and it's very open-ended and the VA created this benefit for that reason. It needs to fit the needs for a service member that if they need to be deployed, if they need to go to a different service station or duty station, this benefit is made to maneuver. So the VA is known for being very rigid about so many things. The VA home loan though is so open-ended. It was created to create the perfect product for that veteran and active duty member when they're looking to purchase.
Lisa Licata
So is there any, someone takes out, buys a home, takes out a loan and they get deployed. What happens, how are they making their monthly payments? Is there leeway with that? If they get deployed, how does that work?
Michelle Viola Straight
So let's say you purchase a home, you're in the middle of purchasing your home and then your active orders come and you're getting stationed in Iwo Jima.
You're off, you're going to Japan. So what do you do? You're like, I have this home, I have to buy it. Go ahead, finish, purchase the home, rent it out. You go on your active orders, you go to Japan for whatever, one years, two years, whatever your deployment schedule is. And then while you're there, you could utilize your loan again, which a lot of people don't understand. So one of the biggest things, another myth, is you can have two simultaneous VA home loans at the same time.
So another example, my son, he had purchased a two-family home, moved in, his job changed, his living situation changed, so his housing needs changed. He was only in the home maybe about nine months. He was able to purchase an additional two-family home that did fit his needs. So he moved into that one. So now here the kid, he's a kid, 28 years old. He owns four units under his VA home loan benefit with zero down, which civilians cannot do that. There is no such thing as, no such product like this. So here he is, has income from his three apartments. He lives in one, rents out the other three, you have the tax incentives. He's building equity. He's using a benefit that you can now establish a huge financial future for yourself. So him, I don't worry about. It's wonderful. And at 28, he's young.
Lisa Licata
You're still young, so you're right. He's definitely building equity. So I think that's another misconception. All right. That's good. Good. Let's talk about readiness. What factors should veterans consider before applying for a VA loan?
Michelle Viola Straight
I love this question.
Lisa Licata
I'm sure you do.
Michelle Viola Straight
So be prepared. that's my role with ClearPath is to meet with that veteran and that service member and get them prepared. So if you're thinking, you know, six months down the road or a year down the road, I want to purchase a home, I would like to invest in real estate, great, let's have that conversation first. So there are factors that come into play. So as a service member with the VA home loan, if you have a service-connected disability, you do not have to pay. You do not pay the VA funding fee, which is good chunk of money.
Lisa Licata
Okay. Is that dependent on the loan amount or is it a flat fee?
Michelle Viola Straight
No, it's dependent on the loan amount. But if you have a service connected, even if it's only 10%, that VA funding fee is negated. Okay. So let's say I had a situation where a woman wanted to purchase a home. She was in the Marines, came out. She was purchasing a $400,000 home.
The person that was working with her with a loan never asked her if she applied for a disability. She had applied. She went forward, she paid the VA funding fee. Well, lo and behold, not two weeks later, her letter comes in the mail from the VA, hey, we just awarded you 50 % service connected. She had already paid that fee.
Lisa Licata
She doesn't get it back, does she?
Michelle Viola Straight
We are working to get that back for her. But this would have been a conversation where to get yourself ready to utilize this loan. Work on, one of the biggest things with service members is just having credit.
It's not bad credit. Bad credit, we can always work on bad credit. There is no minimum for the VA loan.
Lisa Licata
Okay, another good misconception. Which is wonderful.
Michelle Viola Straight
But working on gaining credit. So a lot of service members go into the service at 18 years old. They don't understand how to save, how to establish credit. They're told by the service what to do. Getting them ready, let's get a secured credit card. Let's see, is there any type of service connected that we can connect you to as well?
All this in the long run is going to save them thousands and thousands of dollars and headaches. This way when they're ready to purchase that home, they can just say, okay, great. I'm going to give you a call. I want to go see this home. I'm ready. I'm set. And then they just start on their process.
Lisa Licata
That's good. I'm going to throw you a curve ball here. Okay. How many people do you think you work with a week getting them ready for VA loans?
Michelle Viola Straight
On average, I speak to about a hundred veterans a week.
100 veterans, active duty members. We have quite a few active duty deployed that I'm dealing with. And I love those because those are Skype and they're Zoom calls. And last week I was on the phone with a gentleman in Africa. He's sitting in a tent, cutest little thing ever. And he's figuring out how am going to use my VA home loan benefit? I'm coming home in four months.
I want to get myself ready. So he had a Zoom call to talk about what he needs to do to get himself ready. And he will have the home found and purchased. So when he comes home from his deployment, he's going to walk right into his first somewhere to go.
Lisa Licata
That's wonderful. That's wonderful. So a hundred people. Wow.
Michelle Viola Straight
There are tremendous amounts of veterans and active duty members in Northeast New York.
It's, I've traveled the world with my sons, different bases, wherever they went, we were blessed to be able to go and see them. And I have to be honest, New York State, upstate New York is one of the most patriotic, one of the most veteran heavy communities that I have visited. And that's even comparing like South Carolina and Virginia, where you would think those populations would be heavier.
Up here, there's just tremendous. There's a tremendous amount of veterans that have stayed, that they've moved home, that they've been here now for years.
Lisa Licata
Yeah, well, this is a great, great area to live in. Another question for you. Can you work with veterans anywhere in the country to get them ready, you know, to purchase? Do you provide financing in another state? They can still work with you. You can get them ready.
Michelle Viola Straight
So what I will do is I will get them ready. I know how to get them additional benefits in all other counties and all other states. So it's knowing who you need to connect with. And it's pretty much cookie cutter from state to state. You have to know, like you want to speak to the veteran service officers. Some people don't want to deal with the VA. They want other supports. So just providing them with that support, it's literally, we're just a phone call away. It's that easy.
Lisa Licata
And do you have the connections through the VA? So if they need to talk to someone, you're guiding them in the right direction. Phone number, the contact person, and they know they're being referred by you to, you know, obviously to work hand in hand with you.
Michelle Viola Straight
Yes, there are tremendous resources that the VA offers. And again, some people are just not not in love with the VA. And I understand that. But there are additional supports that you can utilize.
There are centers, there's other organizations, there's nonprofits that you can connect them to for either mental health, physical care, helping them get when they, so if they come home, they purchase a home. Now they don't have anything in it. So what are you gonna do? We can connect them to additional services that'll help them fit up the house with some furniture, get them a bed, get them some food, get them household items. These are things when you come out of the service.
You're basically, you have a sea bag and that's it. You really don't have anything else. So helping them, we can connect them to help them to additional supports as well.
Lisa Licata
That's wonderful. So you're not just helping them buy a home, all the additional support. Look at that, that's amazing. Let me see what else do I have. So we talked about long-term planning a little bit, right? So getting with you maybe six months before, even a year before. We always tell buyers, you know, talk to a bank, get yourself pre-approved or pre-qualified. You want to make sure there's nothing that may sneak up on your credit report that you found out about. So, question for you. Back last year, that's when we first met. We met here. So we were doing a food drive for the local veterans housing coalition here in Ballston Spa. Are you still actively involved with charity work or food drives or anything?
Michelle Viola Straight
With that? Yes, yes. I pretty much work seven days a week, probably about 20 hours a day. I'm very involved in all aspects of veteran services. So past, present and future. If you're thinking about enlisting, I work with a ton of, ⁓ my goodness, totally drawing a blank. Recruiters. thank you. A ton of recruiters. I love working with them because that's really where the magic happens.
They're new, they're excited, they're just enlisting , giving them that information, how to utilize your GI bill, how to connect to other benefits. One of the biggest things, and I just wanna point out, there's a lot of folks that, I want them to be aware of marketing. So there's a lot of targeted marketing campaigns that really hit veterans in active duty that are not correct.
So that's something that I really want to hit home with our service members. Looking in marketing campaign, a lot of these companies will market towards veterans and service members. It's a large population. It's a very small group. It's your marketing is very different. A lot of it is very misleading and a lot of it is wrong.
So we have to change that. We do change that. Be careful when you're dealing with, know, like big box marketers, you know, just because there's American flag and there's somebody in a pair of Cammy's and saluting. It doesn't really mean they're always in your best interest. Do your due diligence. Understand the biggest thing when you utilize your VA home loan benefit is creating a team. You want to create a battalion. You want to create a platoon of
Lisa Licata
with Michelle clearly.
Michelle Viola Straight
You got it. That got your back. One of the biggest sayings in military is we got your six. Right. And we got your six. We will absolutely go to bat for you.
So creating a team of having somebody work with you on your services, have somebody have an agent that you work with that understands or is able to or wants to work with somebody, loan officer that does understand the program. It's creating that powerful team that is going to get you to the finish line. It's going to have less bumps along the way.
Lisa Licata
Right. And that I was going to follow up with a question. How should a potential buyer pick the right agent to represent them? Do you feel that they need to have that military you know, designation under their belt or just be well versed in the VA process with you, you know, because I know you guys work with a lot of our agents here. And, you know, we'll do more because there's a lot that I learned here today that I think is important that agents know. So do you think they need to have that designation or what should they look for in an agent for specifically VA?
Michelle Viola Straight
That's a great question. And no, you don't have to be a veteran to serve a veteran. So I'm not a veteran. I'm an active duty mom. I am just everybody's mom. Interviewing that agent and saying, OK, this is my situation, that's the biggest thing. You don't have to be a veteran yourself. You don't have to be active duty. But work with an agent that is familiar with the process, that does know who the go-to people are in the community. That's important.
To make those phone calls, make those connections and help them along the way. Finding them discounts on other things, insurance providers. I'm big on like, tell them that you're active duty and if you can save 5%. Yeah, it's 5 % less because these sort of service members when they were in, they're making less than minimum wage on a daily and they're putting their lives on the the line for us.
Yeah, so asking the questions, working with agents and with agencies that are familiar with it, that understand the process, that know the go-tos, that is the best thing. Create your battalion, your platoon, and you will then be, nobody will be able to get into that, which is wonderful.
Lisa Licata
So, how can Sterling Real Estate Group and my agents help you get more word out and kind of squash those misconceptions?
Michelle Viola Straight
That's wonderful. So by doing informational sessions like this, this is great. Know what the myths are. Know that there's no PMI. You can use it multiple times. You can use it for investment. Getting the word out is the biggest thing. So here in your community, you have the Naval Base, you have many recruiting stations, you have a few bases down in Albany, you have another few bases up in Glens Falls and beyond. So you're right in the middle. So you have a tremendous amount of active duty and veterans that are in our community from 109th and Schenectady. They love living up north and traveling down. Just making those connections, just creating awareness pieces like this to help share. There is support and there are experts out there that know how to utilize this benefit.
Lisa Licata
So I'm going to throw you another, I'm going to put you on the spot, Michelle. You okay with that? This is a good one. Are you able to go in, you know, to these bases locally and do a presentation about VA loans?
Michelle Viola Straight
We can. We do. So we go to recruiting stations. We deal with the family readiness officers. I'm on six different committees for Northeast New York for helping veterans transition when they're transitioning out of the service. Since we really don't have an active base here, we have active bases, but we don't have a base where there's housing. Housing is always offsite. So here it's imperative for us to be involved in those other organizations because these are the places where you can help those families that are moving to this area make those housing decisions. Your family readiness officers, which are the FROs for the bases. They're your first line of defense.
Lisa Licata
Great. We would love to pair you up with one or two or even as many agents as you want and maybe do an informational session.
Michelle Viola Straight
That would be great.
Lisa Licata
So like I said, Sterling Real Estate Group, we got your six. Yeah. Right? There you go. Michelle, is there anything that we're missing that we didn't cover today to help our veterans out there buy a home?
Michelle Viola Straight
This is, it's wonderful information. Again, I can't hit home more about marketing. Those big box stores, do your homework, ask questions, give me a call. You don't have to use me for a mortgage. You could actually just call and ask, say, hey, listen, I have questions about my VA benefit, about this. Let me connect you. One of the biggest disservices in connecting, is when these veterans and service members don't know who to connect to in the community.
Lisa Licata
Right. Okay. Well, we certainly, again, we'll help get the word out. Do you want to share your contact information and we'll make sure we'll have it in our podcast notes of how they can get ahold of you. But if you want to just give a shout out of how they could directly get ahold of you, that would be great.
Michelle Viola Straight
Sure. So ClearPath Mortgage Solutions. My email is Michelle@ClearPathMortgages.com. Phone number 518-573-4414. You can call me, text me. I'm pretty much available anytime. 20 hours a day. Pretty much.
Lisa Licata
All right. Well, wonderful, Michelle. We appreciate you spending time, I know you work a lot of hours. So we'd love to have you back again. And we're here, like I said, we got your six. So anything that we can do to support you and our veterans.
Michelle Viola Straight
Okay, thank you This was wonderful.
Lisa Licata
Thanks, Michelle.