What You Need to Know About Loan Requirements for a VA Loan
For military families and veterans alike, VA loans are a helpful resource for buying a home. VA loans are different than normal loans and mortgages because they are guaranteed by the U.S. Department of Veterans Affairs. But did you know that there are many requirements for these loans that may affect an individual’s eligibility for a VA loan?
Do You Meet These Requirements?
The VA has the ultimate say in whether or not an individual is qualified, however, if you meet one or more of the following conditions, you may be eligible for a VA loan:
- You have 90 days of consecutive service during wartime.
- You have 181 days of active service during peacetime.
- You have six years or more of service in the Reserves or National Guard
- Your spouse has died in the line of duty or as a result of a service-related injury or disability.
If you meet one of more of these requirements, you may qualify. The best way to find out is by calling a VA loan specialist or contact VA directly.
What Kind of Homes are Eligible?
When it comes to choosing your home through a VA loan, the VA has some say in the type of property you purchase. Homes approved for a VA loan must be residences that are safe and habitable. Prior to purchase, appraisers will check the major points in these homes to ensure they are ready for people to inhabit. Some things that get checked include structural integrity, sanitation, and safety. They will also check heating and cooling systems to ensure efficient and safe operation of these vital home services.
There are many other factors that come into play when discussing VA loans. Applicants are not required to meet specific income requirements to take advantage of these benefits, however, it’s expected that borrowers maintain a stable income that will ensure monthly expenses are covered.
The VA also requires new homeowners to have a certain amount of money left over each month after expenses. This is to cover things such as food, transportation, and other unexpected needs. Since the VA enforces this rule, it means that borrowers are less likely to foreclose on their property and they are able to maintain better overall financial health.
Additional Things to Think About
VA loans are special, however, borrowers are still required to meet specific debt-to-income ratios and maintain a stable credit score. When an individual is applying for a VA loan, a Movement Mortgage specialist will examine your credit score and debt to ensure that you meet the requirements.
It should also be noted that anyone who has been dishonorably discharged is not eligible for a VA loan.
For more information on VA loans, contact Military Home Search today at 719-373-1906 or toll-free at 800-205-6170.