VA Loans
Learn About VA Loans
When it comes to purchasing a home, there are many financing options to consider. One option that is frequently overlooked is the VA loan, which is specifically designed to help veterans and active-duty service members become homeowners. If you're thinking about using a VA loan for your home purchase, we’ve compiled answers to some of the most frequently asked questions below
What is a VA Loan?
A VA loan is a mortgage backed by the Department of Veterans Affairs (VA). This guarantee means that if you default on the loan, the VA will cover part of the lender's losses. Because of this backing, VA loans offer more flexible credit requirements and do not require a down payment, making them a highly appealing option for eligible homebuyers.
Who is eligible for a VA Loan?
VA loans are available to a wide range of service members, including veterans, active-duty personnel, reservists, and National Guard members. To qualify for a VA loan, you must have served at least 90 days of active duty during wartime or 181 days during peacetime. Additionally, if you are the spouse of a service member who died in the line of duty or due to a service-related disability, you may also be eligible for a VA loan.
What are the benefits of a VA Loan?
VA loans offer several advantages when purchasing a home. The most notable benefit is that they require no down payment, allowing you to buy a home without any upfront costs. Additionally, VA loans have more lenient credit requirements compared to conventional loans, making them easier to qualify for. They also offer competitive interest rates and do not require private mortgage insurance (PMI), which can save you hundreds of dollars each month.
What if I've used a VA Loan Before?
If you have used a VA Loan before, you are eligible to use it again. This is because the VA does not have a limit on the number of times you can use this benefit. You can use it multiple times to purchase different properties if you meet certain eligibility criteria. The VA has specific rules and regulations that govern their loan programs. One of the essential requirements that you must meet is that you must have paid off your first VA Loan before you can apply for a second one. The VA also requires that you have enough financial stability to cover the proposed loan amount.
VA loans are an excellent option for veterans and active-duty service members who are looking to purchase a home. If you're interested in using a VA loan to purchase a home, contact NEXA Mortgage today to learn more about your options.
LINKS
CONTACT INFO
LICENSING
NMLS# 1403947
