5 Common Myths About VA Loans: Get the Facts About Va Loans

What Are the Biggest Myths and Misunderstandings About VA Loans?

When it comes to VA loans, there’s a lot of misinformation out there that might be keeping you from exploring this valuable benefit. Let’s bust five of the most common myths that we hear from veterans every day.

Myth #1: “You Can Only Use Your VA Loan Benefit Once”

This is one of the biggest myths we love to bust. Not only can you use your VA loan benefit multiple times over your lifetime, but you can actually have multiple VA loans at the same time! In fact, we’ve helped veterans manage up to four VA loans simultaneously – that’s our current company record but four is not the limit!, Many are surprised at and it shows just how flexible this benefit can be.

You can use your VA loan benefit to:

• Buy your first home
• Keep that home as a rental and buy another
• Build a real estate portfolio
• Move to a new duty station without selling your current home
• Purchase a larger home when your family grows

We’ve seen service members use their VA loan benefit strategically through multiple PCS moves, building impressive real estate portfolios along the way. Some keep properties in different markets, taking advantage of BAH rates and building equity in multiple locations. The only real limitations are your available entitlement and your ability to qualify for the loans.  Calculating your available entitlement can be tricky, call our VA loan experts at 800-975-0640 for more information.

“I could not be happier with HomePromise.”  – Matthew C. 

Myth #2: “You Need Good or Perfect Credit to Get a VA Loan”

Here’s something that might surprise you: the VA’s official lending handbook doesn’t even set a minimum credit score requirement. Many companies restrict access to VA loans with their own guidelines that aren’t in the VA Lenders Handbook. That’s where lenders differ dramatically – you could call ten lenders and get ten different answers about their minimum credit score requirements. 

You don’t need perfect credit to qualify. What matters more is:

• Your current income stability
• Your debt-to-income ratio
• Your recent payment history
• Your overall financial responsibility
• Your complete financial picture beyond just credit scores

This is especially important if you’ve had credit challenges like bankruptcies, foreclosures, repossessions or collections. While some lenders might turn you down immediately, others (like us) will look at your entire situation. We’ve helped many veterans get approved when other lenders said no, simply because we stick to actual VA guidelines instead of adding extra restrictions.

Myth #3: “Making No Down Payment Makes Your Offer Less Competitive”

Many veterans worry that making an offer to buy a home with a VA loan and no down payment will make sellers less likely to accept their offer. This myth likely stems from a misunderstanding of how VA loans work and what sellers actually care about.

Here’s the truth: a VA loan offer can be just as competitive as any other offer. Why? Because sellers receive their full proceeds at closing, regardless of whether you make a down payment or not. 

What really matters to sellers is:

• Your ability to close on time
• The strength of your loan qualifications
• The home meeting VA appraisal requirements
• Working with a lender experienced in VA loans

In fact, in many cases, a VA loan can give you a competitive advantage. Since you don’t need a down payment, you can make a stronger offer on the purchase price. You might also have more flexibility with closing costs since sellers can contribute to those costs. We’ve helped countless veterans successfully compete against conventional loan offers, even in hot markets.

The key is working with a lender who knows how to properly structure your offer and communicate with sellers’ agents about the benefits of VA loans. Our prequalification process gives you the security that your loan will be approved when you find your dream home. Remember, your service has earned you this benefit – don’t let anyone convince you it makes your offer less valuable.

Myth #4: “Only Veterans with Honorable Discharges Can Get VA Loans”

While an honorable discharge makes the process straightforward, it’s not the only qualifying discharge status. For example, if you have a medical discharge under honorable conditions, you can often qualify just as easily. We’ve had people with very short service periods who were medically discharged under honorable conditions, and they were able to get their certificate of eligibility.

You might qualify with:

• A medical discharge under honorable conditions
• Other types of discharges depending on circumstances
• Active duty service with sufficient time served
• National Guard or Reserve service (even some state deployments now count)
• Service-connected disability status
• Surviving spouse status

The rules are as complicated as Congress and the government can make them, but that’s why we’re here to help navigate them. We’ve often succeeded in getting eligibility for veterans who had tried for years on their own without success.  Call 800-720-0250 to see if you qualify.

Myth #5: “VA Loans Can Only Be Used for Single-Family Homes”

This myth limits too many veterans from exploring great opportunities. VA loans are incredibly flexible when it comes to property types. You can purchase:

• Single-family homes
• Multi-unit properties (up to four units if you live in one)
• Condominiums (in VA-approved projects)
• New construction homes
• Manufactured homes (with certain requirements)
• Farm homes (as long as it’s your primary residence)
• Fixer-uppers needing renovation (as long as VA property standards are met)

We’ve helped veterans purchase everything from downtown condos to rural properties with acreage. As long as the property meets VA guidelines and will be your primary residence, you have many options. You can even use your VA loan to buy a multi-unit property, live in one unit, and rent out the others – a great way to start building wealth through real estate.

Why Do These Myths About VA Loans Matter?

These misconceptions matter because they might be keeping you from using one of the most powerful home buying benefits available to veterans. Too often, we meet veterans who:

• Waited years to apply because they thought they wouldn’t qualify
• Made large down payments unnecessarily
• Missed opportunities to build wealth through multiple properties
• Paid for expensive conventional loans when they could have used their VA benefit
• Limited their home search unnecessarily
• Gave up after being turned down by one lender

How Can I Learn More About My VA Loan Options?

Don’t let myths and misconceptions stop you from exploring your VA loan benefits. Even if you’ve been told “no” before, remember that:

• Different lenders have different requirements
• Guidelines and programs change
• Your situation might have improved
• You might qualify for more than you think
• The right lender can make all the difference

APPLY ONLINE NOW NOW and let our VA loan specialists show you what’s really possible. We’ve helped countless veterans achieve homeownership when they thought they couldn’t qualify. Your VA loan benefit is too valuable to let myths hold you back from using it.

Remember, VA loans exist to help veterans achieve homeownership. They offer unique benefits like no down payment, no mortgage insurance, and competitive rates. Don’t let misinformation keep you from exploring this powerful benefit you’ve earned through your service.

Ready to get started? Call 800-720-0250 or APPLY ONLINE NOW and let our VA loan specialists guide you through each step with confidence.

Take Action with HomePromise

Call HomePromise at 800-720-0250 today! Get a free consultation and expert guidance to unlock your full benefits and turn your dream home into reality. We’ll be with you every step of the way. Call now, don’t wait!

VA Loan Eligibility: A Guide for Military Service Members and Veterans

What Do I Need to Qualify For a VA Loan? 

Thinking about using your VA loan benefit to buy a home? We know the process can seem overwhelming at first – there are lots of moving parts and military-specific requirements to navigate. But don’t worry. We’re here to help break it all down into simple, manageable steps and show you exactly how to qualify.

Who Can Get a VA Loan?

Let’s start with the basics – finding out if you’re eligible. VA loans are an incredible benefit earned through your military service, and they’re available to more service members than you might think. You may qualify if you’re:

• Currently serving on active duty
• A veteran
• A member of the National Guard or Reserves
• The surviving spouse of a veteran who died in service or from service-connected disabilities

And yes, this includes ALL branches of the military:

• Army
• Navy
• Air Force
• Marines
• Coast Guard
• Space Force
• National Guard
• Reserves

“I could not be happier with HomePromise.”  – Matthew C. 

How Long Do I Need To Serve To Get a VA Loan? 

This is one of the most common questions we hear, and the answer depends on your service type:

If you’re active duty, the required service time is shorter if you’ve served during wartime or in combat zones. This makes sense – if you’ve put your life on the line in active combat, you should have faster access to your benefits.

For our National Guard and Reserve members: You’ll need either:

• • • 6 years of creditable service, OR
    • Time served on active duty call-up

Here’s some good news many people don’t know: If you’re in the Guard, both federal AND many state deployments now count toward your eligibility. This recent change has made it easier for many Guard members to qualify.

What Type of Discharge Do I Need For a VA Loan?

Don’t let concerns about your discharge status stop you from exploring a VA loan. While an honorable discharge makes the process straightforward, you may still qualify with:

• A medical discharge under honorable conditions
• Other types of discharges (we can help you understand if yours qualifies – call one of our VA loan experts for more information at 800-720-0250)

How Do I Get My Certificate of Eligibility (COE) For a VA Loan?

Think of your Certificate of Eligibility (COE) as your golden ticket to VA loan benefits. While you can apply for one yourself, why make the process harder than it needs to be? We can get your COE much faster and with less hassle on your part.  Call us at 800-720-0250 for help.

You’ll need these documents handy:

• Active Duty: Your current statement of service
• Veterans: DD-214
• Guard/Reservists: NGB-22 and points statement
• Surviving Spouses: Additional documentation we can help you identify

Pro tip: Can’t find your military documents? Don’t panic. We can help you navigate getting replacements from the VA records archive.

Can I Get More Than One VA Loan?

Here’s a surprise for many service members – you’re not limited to just one VA loan! In fact:

• You can have multiple VA loans at the same time
• You can reuse your VA loan benefit after paying off a previous loan
• While there are some limits on total borrowing when you have multiple loans, the limits are probably higher than you think

Will a Low Credit Score Stop Me From Getting a VA Loan?

Let’s ease your mind about credit concerns. While the VA itself doesn’t set a minimum credit score, each lender has their own requirements. Here’s what you should know:

• Credit requirements vary widely between lenders
• Your credit history matters, but it’s not the only factor
• Income and debt ratios play a big role too
• Some lenders are much more flexible than others
• Minimum credit scores for some lenders can be as high as 640
• The HomePromise minimum credit score is much lower at 580

How Does The VA Funding Fee Work?

The VA funding fee is part of most VA loans, but it’s simpler than it might seem:

• First-time users pay 2.15% of the loan amount
• It goes up to 3.3% for subsequent use
• You can roll it into your loan (no upfront payment needed)
• If you have a service-connected disability, you might be exempt
• Making a down payment can lower your fee

How Do I Start the VA Loan Process?

Ready to take the first step? Here’s your simple game plan:

1. Find your military documentation (or let us help you get it)
2. Let us help you get your Certificate of Eligibility – we often succeed even when other lenders can’t
3. Call 800-720-0250 to talk with us about your goals and situation
4. APPLY ONLINE NOW

Why Should I Work With a VA Loan Specialist?

The VA loan process has a lot of moving parts, but you don’t have to figure it all out alone. Working with experts who handle VA loans day in and day out means:

• Getting your COE faster
• Having an expert guide for tricky situations
• Understanding all your options clearly
• Making the whole process smoother and less stressful

Don’t let the details of VA loan eligibility overwhelm you or stop you from using this valuable benefit you’ve earned through your service. We’re here to handle the complexity while you focus on finding your perfect home.

Ready to get started? Call 800-720-0250 or APPLY ONLINE NOW and let our VA loan specialists guide you through each step with confidence.

Take Action with HomePromise

Call HomePromise at 800-720-0250 today! Get a free consultation and expert guidance to unlock your full benefits and turn your dream home into reality. We’ll be with you every step of the way. Call now, don’t wait!