06 Oct Five tips for Veterans that have VA Loans
Benefits that you may have not known about before
1. Use your VA benefits again and again
Your VA benefit for home loans is not one time thing. You may use it multiple times. Right here’s an example of how you can do it.
Assume you purchased a home with a VA home loan. Then a few years down the road you’ve outgrown the house and want some thing bigger. When you sell the home and pay off the VA home loan, you may re-use your VA benefits to buy another home. Your entitlement is restored in full. This isn’t the only way to apply your benefits. Eligible veterans and servicemen can receive a one-time recovery when they repay the VA home loan. This scenario comes into play when the home is paid off. It can also apply if you have refinanced the VA loan with Non-VA home loan.
2. Your benefits have no expiration
As soon as you’ve got earned eligibility for a VA home loan, it never goes away. People who served 20, 30, even 50 years ago often wonder whether or not they can purchase a home nowadays if they never used their benefits. If eligibility is an option, then the solution is yes.
Eligibility is based entirely on the period of time served and the how long you served. To find out whether you are eligible, you need to obtain your DD form 214. With that form, a VA-Authorized lender can request your VA certificates of eligibility for you, or you can request it directly from the VA ebenefits internet site.
3. Surviving spouses may be eligible
Un-remarried husbands and wives of servicepersons who had been killed in action can purchase a home with 0 down payment, no mortgage insurance and no VA funding fee. Thousands of surviving spouses purchased a home using their spouse’s VA benefit over the last few years..
4. VA home loan rates are lower
Generally speaking, VA mortgage rates are usually about 0.25% lower than conventional loans. There is less risk for lenders because the VA backs the mortgages so the financial savings are passed on to veterans.
Moreover, va loans have some of the lowest foreclosure rates of any loan kind, which in turn means less risk for creditors.. These factor in as reasons for lower fees and costs for folks who choose a VA home loan.
5. VA loans are available from local lenders
VA home loans are available from local lenders, not just the VA itself. The department of Veterans Affairs does no longer take applications or approve loans.. Personal banks, credit score unions, and loan agencies are able to handle these loans