How the VA Loan Program Supports Homeownership for Veterans
The VA Loan Program helps veterans and active service members buy a home. The program provides support from the Department of Veterans Affairs and offers various benefits. The benefits of your home loan benefits include:
- No need to pay upfront: VA-guaranteed loans let eligible borrowers buy a home without any down payment. This is a big financial benefit for veterans and active military members with limited savings.
- VA loans may have lower interest rates than other loan types, which can save borrowers money throughout the loan’s duration.
- No need for monthly mortgage insurance (PMI): PMI is an insurance that protects the lender if the borrower can’t pay back the loan. VA loans do not require private mortgage insurance (PMI), which can save borrowers money each month.
- More flexible credit requirements: VA lenders are typically more flexible with their credit requirements than traditional lenders. Even if veterans and active military have bad credit, they might still be eligible for a VA loan.
The VA home loan program has extra benefits for veterans, surviving spouses, and active military members that conventional mortgages don’t have. For most former and active military members a VA mortgage is usually a better option than conventional loans.
- VA loans can cover the entire sales price amount (cost of buying a home), up to 100%. This is useful for people who can’t afford a down payment.
- You can refinance a home with no equity using VA loans, even if you don’t have any ownership of the home. This can be helpful for borrowers who are looking to lower their interest rates or consolidate their debt.
- Another person can assume VA loans, which benefit veterans and active military members who are relocating. This allows them to transfer their loan to another eligible veteran, making it easier for them to move to a new location.
The VA Loan Program helps veterans, surviving spouses, and active military members with service-connected disabilities buy homes. It is a valuable resource for them even when looking to refinance loans.
Getting Approved for a VA loan
Here are a few tips for getting approved for a VA loan:
- Make sure you have a good credit score. But, the minimum credit score on a VA loan can vary from lender to lender. HomePromise allows credit scores as low as 580. Call 800-720-0250 to see if you qualify.
- Make sure you have a steady income. Lenders want to see that you have a steady income to support your mortgage payments.
- Make sure you have a low debt-to-income ratio. Your debt-to-income ratio is the amount of debt you pay each month compared to your income. Lenders need to know you don’t have too much debt so you have funds available every month to pay your mortgage.
- Make sure you have some money in the bank. VA loans don’t need a down payment, but it’s smart to have some money to pay for closing costs. This will help you reduce your monthly mortgage payments and build equity in your home faster.
The VA Loan Program is a good choice for veterans and active military members who want to buy a home. It offers benefits that make it easier and cheaper for them to become homeowners. It offers benefits that make it easier and cheaper for veterans and active military members to become homeowners.
Apply for a VA Loan with HomePromise
To apply for a VA loan with HomePromise, call 800-720-0250. You will then need to provide them with your Certificate of Eligibility (COE). If you do not have your COE yet HomePromise can get it for you quickly.
Once you have submitted your application, HomePromise will review your credit and financial documentation. Our goal is to take the stress out of home buying for veterans and active duty service members. Call today for help!
VA Debt Consolidation Loans & Military Debt Consolidation
Even with the best of intentions, bills can start to pile up. From unexpected medical bills to high interest credit cards, debt can happen to anyone. Other expenses like college tuition, delinquent taxes, and second mortgages can also cause financial stress. For veterans and military families currently experiencing financial difficulties, VA military debt consolidation loans can help.