Buying a home is never easy, particularly if you are a veteran or are serving in the military. So, to help Veterans secure homes, the VA created a loan program specifically for veterans.
TOP THREE REASONS WHY VETERANS LIKE VA LOANS
Zero down payment required
No PMI fees
You can use the loan multiple times, not just on a first-home purchase
HOW DO I KNOW IF I QUALIFY?
Generally, you’re eligible for a VA loan if you fall into one of these three categories:
You’re an active-duty service member or an honorably discharged veteran who has 90 consecutive days of active service during wartime or 181 days of active service during peacetime.
You have served more than six years in the National Guard or the Selected Reserve.
You’re the spouse of a service member who died in the line of duty.
WHAT ARE THE KEY FEATURES OF A VA LOAN?
1. You can buy a home with no down payment.
2. There is no limit to the amount you can borrow on a VA loan although there is a limit to the amount the VA guarantees to a Lender.
3. VA loans require no PMI.
4. No minimum credit score requirement.
5. There is no prepayment penalty if you sell (or pay off) the home early.
6. You don’t need to be a first-time home buyer to get a VA loan. If you pay it off each time, you can use the benefit again and again.
7. You may still qualify for a VA loan if you’ve been through bankruptcy or foreclosure
A COUPLE OF THINGS TO KEEP IN MIND ABOUT VA LOANS
1. A zero down payment isn’t always beneficial. A slight shift in the housing market might mean that you owe more on your home than its market value.
2. The VA requires a loan funding fee between 1.4–3.6% of the loan. This fee may be waived or reduced for disabled veterans. Check eligibility requirements carefully!
It’s important for Veterans to understand their entitlement and to carefully weigh all options when completing a home purchase. Here at Claros Team, we proudly serve our military brothers and sisters with the highest level of commitment. Thank you for your service.
And now, we look forward to serving YOU.
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