Veteran Home Buying Guide: What You Need to Know

There are many programs designed for veterans to help the transition from military to civilian life. One such program is the VA Loan Program intended to assist veterans with home ownership.

Benefits of the VA Loan Program

Basic benefits of the VA Loan Program include zero money down, no requirement for mortgage insurance, less stringent credit requirements and a simpler qualification process.

Because most first-time home buyers find coming up with a down payment the zero money down option veterans enjoy eases this burden, making home buying much easier.

When you combine the zero-down benefit with the no mortgage insurance requirement the process to purchase a home for veterans is much easier

Prequalification is still required but with the eased credit standards and simpler qualification process, this also becomes less of a burden on the homebuyer.

Eligibility Requirements

To be eligible for the VA Loan Program you must be able to prove 90 consecutive days of active wartime service, or active peacetime service of 181 days or more than six years’ service with the National Guard or reserves, or have a deceased spouse whose death was in the line of duty the result of disability related to their time in the service.

Things You Will Need to Do

Obtain a completely free copy of your credit report from Annual Credit Report.com.  By law, you can get a free copy of your credit report every 12 months from Equifax, TransUnion, and Experion. Make sure your information is accurate and up-to-date before starting the process.

Get pre-approved for a mortgage. Pre-approval indicates to the seller that you are
serious and it gives you an idea what a lender will be willing to loan you to buy your home.

Know your budget and stick to it. Preapproval is not a suggestion, rather it is a ceiling as to the amount of money you can borrow. Be smart and stay within your budget. You don’t have to borrow the maximum amount for which you are pre-approved.

Plan on some upfront money. Even though you probably won’t need to come up with a down payment you should still expect to pay for the appraisal, inspection and possibly earnest money.

If you receive child support have this documentation available because it can be counted as income.

Hire the Right Agent

Not every real estate agent has a good understanding of how the VA Loan Program works. You want to hire an agent who has been down this road a few times before. This is not the time to hire a novice.

Interview potential agents and ask about their knowledge of the program and how many buyers they have represented who were using the VA Loan Program.

The right agent will make a big difference. Make sure you choose someone you feel comfortable that can provide the tools you need to find the right home for you. Contact NewHomePrograms.com today to get the process started.

 

 

 

 

 

 

Trackback from your site.

Leave a Reply