VA Loan Eligibility in New York

VA Loan Eligibility in New York

Amid the financial chaos of the past two years, VA loans are still a model of safety and stability for service members nationwide, but many veterans don't know of the existance of the VA loan program and those that do know about the program often don't know how to apply for it or if they qualify.

Matt Polsky, mortgage commentator and blogger on behalf of the VA Mortgage Center, wrote this post for me as a guest contributor, in an effort to educate realtors and the public about VA loans.   The VA mortgage Center is a VA lending company based in Missouri.  It's been in business since 2003 and has serviced more than 500,000 military families with more than $1 billion in VA loans in the last year alone.

If you know of anyone who has served in the armed forces and is looking for a home you might want to share this information with them and if they're looking for a home anywhere in the New York area, have them give me a call and I'll be happy to help them.

VA Home Loans in New York  by Matt Polsky

Living in a state as grand as New York is seldom more than a dream for millions of homebuyers. But for military homebuyers, settling down in the Empire State can materialize with the help of a New York VA loan. The VA Home Loan Guaranty program has been making homebuyers out of active-duty personnel and veterans for almost seven decades.
            Getting started on the New York VA loan process is easy. Either through the Department of Veterans Affairs' website or from a VA-approved lender, you first need to complete a Certificate of Eligibility (COE). This straightforward form assures that you meet initial requirements of the program.
            VA loans in New York have far more lenient financial requirements than traditional loans. Even though the VA does not have a credit requirement, VA-approved lenders expect scores of 620 or higher. It's permissible to have a foreclosure or bankruptcy in your past, too. Neither results in automatic rejection from the program. Not every service member and veteran qualifies, but those who may qualify meet one of these criteria:

• -While on active duty, you served 90 days during wartime or 181 days during peacetime. 
  
• -As a Reservist or National Guards member, you served for at least half a dozen years.  
• -Survived a service member who died while serving or as a result of a service-related injury.

            The benefits of a New York VA loan are many. Paying nothing down is the most obvious advantage to the program since it saves a bulk of money. Qualified borrowers can finance a home in New York without spending a penny on a down payment. Better yet, Rockland County-which encompasses New City, Suffern, Nyack and the river towns, located just 30 miles north of New York City-has a VA loan limit of $735,000. The standard max is $417,000. For military homebuyers wishing to stay close to their roots, Fort Hamilton in Brooklyn, is in King County, and also has a loan max of $735,000.
            In addition to immediate savings due to minimal down payments, New York VA loans feature a plethora of perks that save money in the long run. Two things lower monthly payments: negotiable interest rates and no private mortgage insurance. Because of the VA's insurance of up to one-quarter of each loan, VA-approved lenders assume less risk. Consequently, they're willing to take interest rates down a bit. The VA loan program caps interest rates for active-duty homeowners. Low monthly payments sometimes give military homeowners the chance to prepay, which they can do without penalty in the VA home loan program.
            More information about New York VA loans is available from a VA-approved lender.

FLickr photo by the US army