If you are a veteran interested in buying a home, you simply
can't afford to ignore the VA home-financing program.
Getting a VA backed loan is easy. Follow these five simple
determine if eligible
sign a purchase agreement
order VA appraisal
apply for mortgage
when purchasing a home, and enjoy the benefits of your service
in the Army.
Service members and veterans who decide to buy a house are
eligible for a home mortgage guarantee offered by the Department
of Veterans Affairs. The VA does not provide the mortgage,
rather, it guarantees the mortgage, which minimizes
lenders’ risks and reduces their losses in the event of foreclosure.
The money comes from private lenders who volunteer to participate
in the VA program.
Because of the guaranty, lenders are willing to
offer mortgage loans larger than what service members
otherwise might qualify for. Get more information on how to qualify for and obtain a VA Home Loan.
These loans are made by a lender, such as a mortgage company,
savings and loan or bank. VA's guaranty on the loan protects
the lender against loss if the payments are not made, and
is intended to encourage lenders to offer Army veterans loans
with more favorable terms. The amount of guaranty on
the loan depends on the loan amount and whether you used some
With the current maximum guaranty, as of January 1, 2006, an Army veteran
who hasn't previously used the benefit may be able to
obtain a VA backed loan up to $417,000 depending
on the borrower's income level and the appraised value
of the property. Your local VA office can provide more
details on guaranty and entitlement amounts.
More than 29 million veterans and service personnel are eligible
for VA financing. Even though many veterans have already used
their loan benefits, it may be possible for them to buy homes
again with VA financing using remaining or restored loan entitlement.
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