If you are on active duty ( there are time constraints) or are retired military, the chances are good that you qualify for a VA loan. There are different types of housing loans, such as Conventional, FHA (Federal Housing Administration) and VA loans. It's a good idea to research the different types of loans before you dive in. The basic aim of VA loans is to help veterans finance buying a house. The largest benefit of VA loans is you don't need a down payment, and very little cash to move in. A more complete reference for processing VA loans is the Lender's Handbook, VA Pamphlet 26-7, available on the Internet at www. The biggest advantage of using VA loans is that borrowers can finance the purchase of a home with no money down. This can be a great help when you consider all the expenses that are associated with buying and moving into a new home. One of the most common myths about VA loans is that once you use your VA loan you can never use it again. This is simply not true. If you have an existing VA loan, you must clear it to make yourself eligible for another VA loan. This is a common practice when you sell you house make sure that you clear the loan so that you are eligible for the next one. Another perk to VA Loans is the reduced closing costs, origination fees, and appraisal fees that lenders are allowed to charge. When an appraisal is done on a property, the lenders are bound by that amount. If for some reason you agree to pay more than the appraised amount, the additional money would have to come out of your own pocket. Why would anyone want to pay more than the appraised amount? An example might be something like this. You are talking to a seller and have agreed on a price pending a VA appraisal. The appraisal comes in five thousand below the agreed upon price. You still want the property and they want to sell it to you but not at the VA price. You compromise and agree to split the difference and pay them an additional twenty-five hundred dollars. That money would come out of you pocket. The only catch with VA loans is that you must be a military veteran to qualify. While, one of the biggest selling points for VA loans is that there are usually no down payments required. The funding fee for VA loans is waived for veterans who have a service connected disability of 10 % or more.. One of the greatest benefits of VA loans is the low interest rates. Getting the VA loans is completely devoid of hassles and legalities, which makes the loan more accessible.
VA loans are generally the best choice for veterans who are planning to purchase a new home or refinance an existing home mortgage. More than 29 million veterans and service personnel are eligible to receive VA loans. You may also want to visit the Veterans Administration web site http://www. Veterans can apply for pre-qualification online or check their eligibility for VA loans within minutes. VA FINANCING - A GOOD DEAL FOR VETERANS. Department of Veterans Affairs home loans -- VA loans for short -- are a popular option with home buyers. The Veterans Benefits Act, signed recently, has raised the VA loan limits to allow more Veterans and individuals on Active Duty to qualify for VA Loans. Veterans are allowed to refinance their existing mortgages from conventional or FHA loans to VA loans. But if you're one of those veterans who thought they could never be approved for a loan on a home, VA loans can make it happen where nothing else could. This program helps veterans obtain mortgages by protecting the lender against loss. Check with your local Veterans Administration for details or go to VA Loan Tips.com.(http://www.valoantips.com)
To summarize, The basic aim of VA loans is to help veterans finance buying a house. On the other side of the coin, one potential downside to a VA loans is the guarantee amount. The guaranteed amount is higher than ever so the guaranteed amount should not be a problem. The largest benefit of VA loans is you don't need a down payment, and very little cash to move in. The main source of information about processing VA loans is contained in VA Pamphlet 26-7, VA Lender's Handbook. One of the most common myths about VA loans is that once you use your VA loan you can never use it again. As we said earlier, this is not true, you just have to clear the previous one. Another perk to VA loans is the reduced closing costs, origination fees, and appraisal fees that lenders are allowed to charge. The funding fee for VA loans is waived for veterans who have a service. Connected disability of 10 % or more. Getting the VA Loan is completely devoid of hassles and legalities, which makes the loan more accessible. If you are a veteran, this is one of the best deals there is. This and the GI Bill for education, but that's a different story for another day.
