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VA home loan Colorado FAQs on Construction Loans and Home Loans

By
Mortgage and Lending with Security America Mortgage NMLS 355253

Colorado is a beautiful state with breathtaking views and nature. It's a great place to call home and roughly 400,000 Veterans live there because of the benefits. There are 6 Military bases there, thriving cities like Denver, and a wide array of activities to enjoy like skiing, hiking, and sports events. This article will examine why Veterans and civilians are searching for Construction loans in Colorado. In 2023 the VA construction loan is on the rise and a big reason Veterans are looking for VA loans in Colorado.

What types of VA loans are available in Colorado?

  • VA One Time Close Construction loan

  • VA loan to purchase a home in Colorado

  • VA renovation loan to rehab a home in Colorado

  • VA FARM Loan

  • VA Native American Direct loan

  • VA supplemental loans

  • VA IRRL

  • VA conversion loan

What types of Construction loans are available in Colorado

  • VA Single close construction loan aka VA OTC

  • FHA one-time close construction loan

  • USDA one-time close construction loan

  • Conventional One-time Close construction loan

  • Construction to permanent financing

  • Temporary construction financing and then a permanent loan in the form of:

    • VA home loan

    • FHA home loan

    • Conventional home loan

 

Veterans love Colorado and it's a great place to build a home with a VA Construction loan

 Can I Use a VA Loan to Buy Land in Colorado?

Yes, but the land you buy must be coupled with the construction of a home.

Can I get a Certificate of Eligibility for the VA home loan in Colorado?

If you meet the service requirements then most definitely then you can get a COE which is one step to getting a VA home loan Colorado. The VA eligibility requirements vary based on the benefit you are applying for. However, there are some general eligibility requirements that apply to most va benefits.

To be eligible for VA loan benefits, you must:

  • Be a veteran of the U.S. Armed Forces.

  • Have served on active duty for at least 90 days, or for the full period for which you were called to active duty.

  • Have been discharged under honorable conditions.

  • Have a service-connected disability, or be the surviving spouse or dependents of a veteran who died from a service-connected disability.

In addition to these general eligibility requirements, there may be other requirements that apply to the specific benefit you are applying for. For example, to be eligible for VA health care in Colorado, you must have served on active duty for at least 24 months, or for the full period for which you were called to active duty.

You can find more information about VA loan eligibility requirements at the Department of Veterans Affairs: https://www.va.gov/health-care/eligibility/

Some specific VA eligibility requirements for different benefits include:

  • VA home loans: You must have served on active duty for at least 90 days, or for the full period for which you were called to active duty. You must also have a good credit score.

  • VA education benefits: You must have served on active duty for at least 90 days, or for the full period for which you were called to active duty. You must also meet certain academic requirements.

  • VA disability compensation: You must have a service-connected disability that is rated at least 0% by the VA.

  • VA pension: You must be a low-income veteran who is 65 years old or older, or who is permanently and totally disabled.

  • VA survivor benefits: You must be the surviving spouse or dependents of a veteran who died from a service-connected disability.

If you are not sure if you are eligible for VA benefits, you can contact the VA for assistance.

Checklist of VA Loan Documents

  • VA Certificate of Eligibility (COE). This document shows that you are eligible for a VA loan. You can request a COE from the VA website.

  • DD-214 or Statement of Service. This document shows your military service history.

  • Government-issued ID. This could be a driver's license, passport, or other government-issued ID.

  • Two years of tax returns. This shows your income and expenses.

  • Two years of W-2 statements. This shows your income from employment.

  • Most recent pay stubs. This shows your current income.

  • Bank statements from checking, savings, and retirement accounts. This shows your assets.

  • Verification of employment. This could be a letter from your employer or a recent pay stub.

  • Verification of income. This could be a letter from your employer or a copy of your tax returns.  Don't forget that BAH/Basic Allowance for Housing income can be used in qualification.  Utilize a BAH calculator

  • Credit report. This shows your credit history.

  • Discharge paperwork from any bankruptcies. This is required if you have filed for bankruptcy in the past.

  • Divorce decree. This is required if you are divorced.

Colorado offers a variety of benefits for veterans who live there. 

  • Property tax exemptions: Disabled Vets are eligible for a property tax exemption of 50% of the first $200,000 in actual value of their primary residence.

  • Income tax exemption: Military retired pay is not subject to state income tax in Colorado.

  • Free hunting and fishing licenses: Disabled Vets and Purple Heart recipients are eligible for free lifetime hunting and fishing licenses.

  • Free state park admission: Vets with a Disabled Veterans License Plate receive free admission to any state park or recreation area.

  • Veteran's preference in state employment: Veterans are rewarded with preference in state employment.

  • Veterans employment services: The Colorado Department of Labor provides a variety of services to help veterans find employment, including job training, resume writing assistance, and interview skills training.

  • Veterans education benefits: Colorado offers a variety of education benefits for veterans, including tuition assistance, grants, and scholarships.

  • Veterans health care: The Department of Veterans Affairs (VA) provides health care to veterans at VA hospitals and clinics.

  • Veterans counseling and support services: The VA also offers a variety of counseling and support services to veterans, including mental health counseling, substance abuse treatment, and financial assistance.

  • Colorado State Veterans Community Living Centers: Homes are in Florence, Homelake, Rifle, Aurora, and Walsenburg, and it's open to honorably discharged veterans, spouses, widows, and Gold Star parents.  All locations offer 24-hour nursing care, meals, physician services, restorative therapy, transportation, diversified activities, with an all-inclusive rate, and more.

    To learn more and obtain more information on veterans benefits in Colorado, you can visit the website of the Colorado Department of Veterans Affairs: https://vets.colorado.gov/

  • Veterans suffering with PTSD can find peace in nature and a va loan can help you get the home you need.

What are VA Land Loan Requirements in Colorado?

  • VA registered builder in Colorado needed

  • VA approved builder with Lender.

  • Approved plans to build a home on the land

  • VA Construction loan lender that will allow you to close on land and construction of a new home at the same time.

VA construction loan lenders in Colorado

VA Approved Lender Security America Mortgage is a premier VA lender with solid Google reviews that support their dedication to "Serve those who Serve" They specialize in a VA construction loan and VA renovation loan and have top-rated customer service. Furthermore, they have expertise in all home loan types and understand that every borrower is unique with different needs and desires. Since they offer a variety of home loan products, you can rest assured they can help you with the home loan type that you need ranging from ITIN home loans, Construction loans, Rehab loans, conventional home loans, USDA home loans, and FHA home loans.

VA loan limits Colorado

 

VA loan limitis Colorado

What is the VA funding fee in Colorado

VA loan funding fee

What are the benefits of a va loan in Colorado

  • No down payment required

  • No private mortgage insurance

  • Credit rating requirements not as stringent as other home loan types

  • According to VA.gov and many sources, a lower interest rate than alternative products with no down payment

Why is a VA One Time Close Construction loan better than 1 closing for construction and another closing after construction?

According to Garrett Puckett the CEO of Security America Mortgage "A VA one-time close construction loan allows you to close on the land and the construction of your home at the same time with one closing and one set of closing costs. You can obtain a fixed-rate mortgage and not concern yourself with Requalification and interest rate volatility." Often times when there are 2 closings you're dealing with a variable rate during construction that's subject to change.

 

George Souto
George Souto NMLS #65149 - Middletown, CT
Your Connecticut Mortgage Expert

Garrett Puckett VA Mortgages are an excellent benefit to our Veterans.

Aug 28, 2023 06:56 PM