The ones who’ve served our country deserve all the support they get
Any American can agree: our veterans are so important to the very fabric of our nation, and they deserve all the support we can give them. And one of the best ways that the United States of America supports its veterans is through VA loans. Backed by the Department of Veterans Affairs, VA loans give our veterans access to affordable financing to help them become homeowners.
So what is a VA loan?
As we brought up already, a VA loan is backed by the US Department of Veterans Affairs. The Department doesn’t provide the actual loan, but instead guarantees and insures a portion of the loan’s amount in the event that the borrower defaults on the mortgage. While there are requirements that borrowers will have to meet to qualify for a VA loan, it can make becoming a homeowner so much more accessible for our veterans.
What are the benefits of a VA loan?
The benefits of a VA loan are very straightforward: if you qualify, you may be able to put as little as $0 down, and VA loans can even have lighter credit requirements. This isn’t always the case, but the VA loan program has helped millions of our veterans become homeowners since the start of the program. Another benefit is that you don’t need mortgage insurance with a VA loan. Traditionally mortgage insurance is required when applying for a mortgage with a down payment less than 20%, but due to the government backing of the VA loan program this requirement is waived. Borrowers will have to pay a VA funding fee as part of the process, but it is usually far lower than the expense of having mortgage insurance.
The requirements of a VA loan
When applying for a VA loan there will be certain requirements that you will need to meet as a borrower. You can find a full list on the Department of Veterans Affairs website here, but generally the requirements are as follows:
- You are either active duty military, or you are a veteran that was honorably discharged
- You served for a minimum of 181 days of active service in the military
- Or you served in the National Guard or Selective Reserve for a minimum of six years
These requirements can be lower depending on if you were injured in the line of duty or if your service period was during wartime, but these provide a general guideline of whether or not you can qualify.
If you or a loved one have served our country and are now starting on the path to homeownership, get in touch with us! We’ll help you get the assistance you rightfully earned as part of our military, and guide you through the entire application process.