Monday, December 2, 2013

Do You Qualify For A VA Home Loan?

By Darrel Jefferson


When looking for a home loan, there are more options available to families than ever before. But what about a VA home loan? It doesn't matter if you're applying for a VA loan, VA refinancing or a VA streamline loan, these loans are designed to take the best care of veterans, active-duty service people and their families. But since loans frequently have difficult and somewhat obscure rules for who can qualify, some people feel intimidated by the process. Don't be. Here's some information that will help.

VA loans are specialty loans reserved for veterans, current service members, surviving spouses and members of the Reserve or National Guard. There are stipulations on these, but in general, service members, veterans and members of the Reserve or Guard are eligible if they've been on active duty between 90 days and 24 months (please check with the Department of Veterans Affairs for more information). Surviving spouses of service members can generally qualify if they haven't remarried, or if they fall into a certain age bracket.

FHA loans are loans that are backed or insured by the Federal Housing Agency. The loans themselves are not given by the FHA, they are simply loans provided through approved lenders which the FHA promises to cover if the loan defaults.

If you are the unmarried spouse of one that has died in service, you and your family are also eligible for the VA loan. If they have gone missing in action or have become prisoners of war you may also receive a VA loan.

On the down side, FHA loans have higher mortgage insurance, and there are loan limits on the amount that can be applied for. Homes with an FHA loan must be owner-occupied, and they can sometimes take longer to process than standard loans, making you a less appealing candidate if multiple offers for the home are on the table.

When you combine all of these benefits, no other type of loan can make it as affordable to get into a home. If you are a veteran, current service member, member of the Reserve or Guard, or a surviving spouse, take some time to consider a VA loan as you are house hunting.

The whole point is to make it easier for veterans, service members and their families to be able to buy a home and keep it affordable.

Although there a lot of loans and a lot of programs out there, VA home loans are far and away the best choice. VA loans, VA refinancing and VA streamline loans are all options you can choose from, whether you're looking to buy or refinance a home. And best of all, they're just for you.




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