VA Home Loan
VA Home Loan
VA home loans or Veterans Administration home loans just like FHA
home loans are also funded by commercial lenders but insured by
the federal government. These loans have low interest rates, zero
down payments. VA home loans provide assistance in purchasing a
home for United States Veterans.
Advantages of VA home loans:-
1.You can purchase a home with no down payment.
2.VA home loans are slightly easier to qualify for a Veterans
Affair loan when compared to a regular loan.
3. VA home loan allows borrowers to finance 100% of the loan
4. VA home loan only requires proof of veteran status to qualify
for the loan.
Terms and conditions to be eligible for VA Home Loans
1.VA home loans are only eligible for those who have served in the
United States military.
2.You must have been on active duty for at least 181 days during
peace time and 90 days during war time.
3.If you served less than the standard 181 days, you may be
eligible if discharged for a service connected disability
4.You must have been discharged under other than dishonorable
Who can qualify for a VA Loan?
The following table shows what type of service (and for what
duration is required in order to be eligible for a VA Loan:
Service during Wartime: WWII 09/16/40 to 07/25/47
Korean 06/27/50 to 01/31/55
Vietnam 08/05/64 to 05/07/75
Persian Gulf 8/2/90 to undetermined
You must have been at least 90 days on active duty. Plus, you must
have been discharged under normal conditions. Even If you served
less than the standard 90 days, you will be eligible if discharged
for a disability.
Service during Peacetime: - 07/26/47 to 06/26/50
02/01/55 to 08/04/64
05/08/75 to 08/01/90
To qualify for a Veteran Loan, you must have been on active duty
for at least 181 days. If you were discharged, you must have been
discharged under other than dishonorable conditions. If you served
less than the standard 181 days, you may be eligible if discharged
for a service connected disability.
New Factors of VA home loans
The VA home loans are now offering VA adjustable rate mortgages
(ARM). You have to check it out whether you qualify for a 3yr or 5
yr ARM. If you are planning not to stay in your home for a longer
duration then the ARM may be best for you. The VA Adjustable Rate
Mortgage is fantastic for anyone who does not plan on staying in
their home for more than 5 years. It will help save you a great
deal of money because the interest rates are generally much lower.
Few queries about VA home loans:
( 1) Is the spouse or children of a veteran eligible?
The children are not eligible but a spouse is eligible if the
veteran died as a result of a service connected disability or died
while on active duty. .
( 2) Who makes the loans?
Loans are actually made by the Private Lenders. However, the VA
guarantee protects these lenders against loss. The guaranty will
allow lenders to make loans without other requirements (for
example, a down payment).
You can get a VA home loan even if you have been foreclosed on in
the past. The best way to find out how to qualify in such
situation is to contact a mortgage specialist. They can give you
advice on what you can do to ensure you can qualify for a loan.
Even if you are considering a VA home Loan, remember that there
are still a variety of different mortgages.