Veterans and Servicemembers Can Take Advantage of the VA Loan Benefit
Those who have served in the military have given a lot in defense of our country. In recognition of service, the United States Government allows veterans and military servicemembers specific resources and benefits. One such benefit is the VA Home Loan which provides the chance for servicemembers to purchase a home. In Colorado, specifically Denver county, the limit for a single-family home is $529,000.00 with a max of $1,000,000.
When taking advantage of this opportunity, there are requirements for eligibility. You have to have satisfactory credit, sufficient income and valid Certificate of Eligibility to be eligible for a VA-guaranteed home loan. Also, the home you are considering must be for personal occupancy.
In addition, the VA home loans can be used to:
- Buy a home, condominium unit in a VA-approved location.
- Build a home
- Improve a home by installing energy-related features or making energy efficient improvements
- Simultaneously purchase and also improve a home.
- Buy a manufactured home and/or lot
- Refinance an existing VA loan or direct loan in order to receive a lower interest rate.
- Refinance an existing mortgage loan
When looking for a mortgage broker, it’s essential to choose one who has a thorough understanding and experience with VA loans. Also, the following things should be taken into consideration:
1. Someone who understands the tight timelines of military moves. Often servicemembers relocate every 2-3 years, sometimes sooner.
2. Familiarity with the VA loan process. The VA loan process traverses both the public and private sectors. These loans involve filling out government paperwork and gathering financial statements when working with your mortgage lenders. Working with someone who understands this process allows it to move quickly and effectively.
3. Someone who can educate the seller and seller’s agent about the VA loan process. At times, there is a lack of knowledge about the VA loan process. Someone who can have a veteran focus will have the ability to educate you through the process and ensure you are represented accurately during the transaction.
Take advantage of this unique opportunity. More than 21 million veterans and servicemembers live in the United States today, but only about 6% of them bought a home using a VA home loan in the past five years. What some individuals don’t realize is that with a VA loan you can have no down payment, no need for mortgage insurance, you can use your benefit again and again, your benefit never expires, surviving spouses may be eligible, rates are lower, loans are available from a variety of lenders, and lenient guidelines for lower credit scores, bankruptcy and foreclosure—among many more reasons!
Obtaining a VA loan doesn’t have to be an arduous process. Sit down with me and take a few minutes to learn about the program and you will forget all about other home buying or refinance options.