Understanding a Veteran Affairs (VA) Loan From Naval Air Station Oceana Virginia Beach VA!!!!
Understanding a Veteran Affairs(VA) loan from Naval Air Station Oceana, Virginia Beach Va,. in the current market, it is becoming harder each day to secure a decent home loan. From different loan characteristics to rules and regulations, getting qualified for a home loan can indeed be difficult.
However, the Veteran Affairs or VA loan is a popular option amongst military officials, veterans and their surviving spouses because of its flexible features and zero down payment requirements. Keep reading to find out more abut he VA loan, its eligibility conditions and benefits.
What is a Veteran Affairs (VA) loan?
VA is not actually a separate loan product but a normal loan guaranteed but the US Department of Veteran Affairs. It provides financing to the eligible individuals with the advantage of zero down payment and flexible payment options. The VA charges a funding fee for every loan it guarantees. The loan is a great option for military officials and their spouses who don’t have enough savings to put down a down payment.
Who Can Get a VA Loan?
The following are eligible to apply for a VA loan:
•People who have served the military for at least 181 days during peace time
•People who have served the military for at least 90 days during war time
•People who have served the National Guard or Reserves for 6 years
•Spouses of individuals who died during line of duty or from a service injury.
Although the eligibility criterion is simple, it does not guarantee a loan. Aside from the basic conditions, the lender may also consider your debt to income ratio, credit score and the condition and value of the property you intend to buy.
Criterion to Get a VA Loan Secured
To get the VA secured in your name, lenders require a credit score of at least 620 and a debt to income ratio less than 41%. However, if you don’t fit this criteria this does not mean that you will be denied the loan altogether but you may have to face some additional financial obligations.
The residual income is another requirement that lenders check before finalizing the VA. The residual income is the amount of money that you are left with after paying for your major expenses. This residual income varies on the area you live in and the size of your family.
Down payment is not an obligation, but borrowers can do so if they have the required funds. However, the down payment may be required for loans greater than $417,000.
The VA loan is a highly flexible option, though it does have some restrictions on the kind of property. For example, you can use the loan to buy a farm residence, but the farm shouldn’t be used for income.
Advantages of a VA Loan
•You can use the VA loan for a variety of purposes, from buying a new home, refinancing your current mortgage or refinancing for cash.
•Almost 90% of VA loans are issued with zero down payment and thus are great for people running low on savings.
•The interest rates for these loans are lower than conventional mortgages.
•They don’t require private mortgage insurance.
•There are no penalties for paying off the loan early which lets you save a lot of cash.
Understanding a Veteran Affairs (VA) loan from Naval Air Station Oceana, Virginia Beach Va,. posted by Tony Busanich a loan officer with TD Bank, a portfolio lender from Maine to Florida. You can trust TD Bank to deliver a superior mortgage experience. Whether you’re purchasing or refinancing, we provide straightforward, easy-to-understand products and advice, allowing you to make smart borrowing decisions that meet your needs today and tomorrow. My web site at www.tdbank.com/tonybusanich includes mortgage rates updated every morning. You can run different scenario that include monthly payments, different programs and closing cost. Please contact me at 732-306-2231 or by email at anthony.busanich@td.com and on my web site at www.tdbank.com/tonybusanich
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