1. WHYA VA HOME LOAN?
Zerodown. No monthlymortgage insurance. These are justtwoof the amazingbenefits thatqualifying
militaryservice membershave earnedbyservingourcountry. VA loansare the bestloansout there.
Here are some of the myths(and benefits) associatedwiththisloan:
MYTH #1: A Veterancan onlyuse theirVA loan benefitsonce. Eventhoughmanyveteranshave
alreadyusedtheirloanbenefits, itmaybe possibleforthemtobuyhomesagainwithVA financing using
remainingorrestoredloanentitlement.
Myth #2 – Survivingspousesdon’t qualifyfor VA mortgages. The VA offersa varietyof benefitsand
servicestospousesof service memberswhoare deceasedorpermanentlydisabledincludinghome
loans.
Myth #3 – Militarymembersdeployedoverseascan’t get a VA-guaranteedloan.The VA loanprogram
isfocusedonhelpingveteransandservice memberspurchase homestheywill live inyear-roundastheir
primaryresidence.Thesearen’tforbuyingvacationhomes,investmentpropertiesorotherincome-
producingventures.Aspartof that focus,the VA typicallywantsyoulivinginthe home full-time within
60 days of closing.Thatcan obviouslyprovechallengingforsome service members,especiallythoseon
deployment.There are exceptionstothe occupancyrequirement,the mostcommonbeingthata
spouse can fulfill itonyourbehalf.
Myth #4 – VA loanscost the sellermore than other loans. It’s true that the VA limitsthatclosingcosts
that can be paid bya Veteran.Some lendersrequire thatthe sellerpaythe “non-allowable”closing
costs. Talk to yourlenderthere maybe options.
Myth #5 – VA loanstake foreverto close. Some lendershave toworkwiththe VA to getloansapproved
and closed. You will usuallymove inator before the same time youwouldhave withaconventional
loan.
Myth #6 – VA loansare overlypicky about the property.While the VA use to be much pickieraboutthe
propertiestheywouldfinance,changesinthe lastfew yearshave made the VA requirementsvery
similartothe requirementsonFHA andConventional loans.
Myth #7 – VA purchase loans are not for short-sale or foreclosedreal estate.Much like otherloan
programs,the VA looksat the conditionof the propertiesthattheyare willingtofinance.Howeverthe
VA requirementsverysimilartothe requirementsonFHA andConventional loans.
Myth #8 – Veteranscan only have one VA home loanat a time. The VA will allow forthe financingof
more than one propertysolongas the Veteranhassufficienteligibility.The formulaiscomplex,butthat
iswhy youuse a lenderwhodoesVA loansoften. YourRealtorworkscloselywithlenderssotheyknow
whoto relyon.
Myth #9 – VA doesn’tdo Jumbo loans. The VA doesallow forloansoverthe conventional loanlimits
witha downpayment.The amountof downpaymentrequiredis25% of the differencebetweenthe
purchase price and $424,100. The 2019 VA loan limitincreasedto$484,350 from$453,100 exceptin
199 highcost countieswhere theyare higher.Thisrepresentsa6.9% increase thisyear.
2. Myth #10 – The Veteranhas to have perfectcreditto use the VA loan. The VA loanis actuallyone of
the most lenientloanprogramswhenitcomestopast credithiccups. Let’stalkto a lenderfamiliarwith
VA loans.