For over 12 years, we have been Lakewood CO Vet Loans and 100% Vet Loan specialists!
In this article, learn how to qualify for your 100% VA loan.
Step 1: Verify eligibility for a 100% VA Loan through your Certificate of eligibility (COE).
Verifying your eligibility is the first step to obtaining a Vet loan. You must order your Certificate of Eligibility (COE) through the VA which will also confirm the amount of your eligibility. To be eligible, you must be an honorably discharged Vet, or are active duty or reserves currently.
Ordering your COE: The easiest way is that your VA lender can help you get your COE fast, usually the same day you request it. You can also order your certificate of eligibility through the VA either by mail or online. Honorably discharged Vets will need a copy of their DD214.
Step 2: Seek pre-approval through a Lakewood Colorado VA Loans specialist. The next step is to apply for the Vet loan. Either by phone or in person, plan to meet with your Vet Lender for 20-30 minutes. The application will have such information as Income information, employment history, income information, address history, assets, and questions such as whether or not you have had a bankruptcy or foreclosure.
Your lender will also request some supporting documentation at this point to verify the information on the application. Typical documentation will include your most recent 30 days paystubs, past 2 years W2s and tax returns, and your most recent 2 months bank statements. It would be best to be prepared with these items for your initial meeting.
Step 3: Credit is checked Checking credit is an essential part of your application. Lakewood CO Vet Loans are lenient, but you must have at least decent credit in order to qualify for a VA loan. The minimum credit score is 620, and you cannot have any derogatory federal debt such as student loans or taxes.
A bankruptcy in the past doesn't necessarily disqualify you, but you must wait for 2 years after the discharge date before applying. The same goes for a foreclosure, you must wait for 2 years after the sheriff sale date (date the bank sold the home to a new owner).
Step 4: Under contract/file submitted to underwriting. One it is determined that you are qualified for the loan, the next step is that your file will be submitted to underwriting for the official approval. This is the step where an underwriter actually reviews your file and determines that you are approved and can receive the funding. If your VA loan officer did their job well, you should not have a problem in underwriting.
Step 5: Your VA Loan closes. The final step is to close on your Vet loan! At this point in the process you will receive a settlement statement which will break down all of the fees and also all of the credits, and give you a summary of the bottom line due at closing.
There is no down payment requirement for Vet loans. However, don't forget there are VA closing costs involved in every transaction. You should be prepared in advance for this by your lender, but nonetheless, don't confuse no down payment with meaning nothing is due at closing! There are ways to finance the closing costs if you can't come up with the funds, and your lender can help you with these options.
Find out more about VA Loan benefits at the VA Home Loan website: http://benefits.va.gov/homeloans/
It's important to choose a lender who knows VA Loans. Our specialty is Lakewood Colorado VA Loans and 100% VA Loans and we would be happy to answer any questions you have.
Call RJ Baxter at 303-670-0137 or visit our VA website http://www.ecoloradovaloan.com. We would be honored to help you!
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