I’m sure if you’ve spent any time on the internet looking for VA Loan information or you've heard the term BAH before. But for those of you who may have stumbled upon this blog and don't know - BAH stands for Basic Allowance Housing...but it's commonly referred to as your Basic Housing Allowance. Knowing this can really help you out when you are going to get Pre-approved for a loan. You can get pre-approved with us here.
Your BAH is based on a few things:
1. Geographic Duty Location - this we where you've served your time in the military. It's based off of the location of the base you are stationed at during your service time Your BAH rate is allocated by taking a look at the rental costs around the area, so in high cost areas the BAH rates in high cost locations will be higher than in low cost locations.
2. Pay Grade - This is basically set on your rank. If you have a higher rank, you get a higher BAH.
3. Dependancy Status - If you have no dependants then your BAH will be lower, if you have any children or other dependants than your BAH will be higher.
The intention of the Basic Housing Allowance is to provide all uniformed service members accuarate and equitable housing compensation based on the housing costs in local civilian housing markets. If you're serving Whiteman Air Force base, your BAH would be figured based on the surrounding communities such as Warrensburg. Many of our borrowers like to use the amount of their Whiteman BAH for their monthly house payment. We simply figure out how much of a house that buys and take it from there. If you have any questions about qualifying for a VA loan or the amount you can afford please give us call at (816)268-4025 or visist our website: Midwest VA Loans and we look forward to hearing from you and helping you get into the home of your dreams!