To start with, it is essential to note that veteran home loans are reusable. Meaning that you will be in a position to use your VA entitlement over and over again so long as you pay off the loan each time. Besides, it is essential to note that it is still possible that you can obtain another VA home loan even when you have lost one to foreclosure or you presently have. Because of that you will not have to go through the tiresome process of commencing a fresh application.
Besides, VA loans are for certain types of homes. For that matter, it is better to know that VA loans are only designed for properties that are in ready to move in condition. These includes single-family homes, modular housing, condos, and multi-unit property and many more. Therefore, if you want to buy a working farm or a fixer-upper, you should look for another source of income since you cannot use VA loans for that.
Not only that but VA loans are meant for primary residents only. For that matter, you should not waste your time using your VA loan benefits in securing an investment property or a vacation home. This is because they are meant for primary residences only. Not only that but you can also secure a multiunit property provided that you live in one of the units. You should also know that lenders also have their own standards as this can affect the occupancy requirements.
In addition, it is essential to note that the VA. does not issue veteran home loans It is the responsibility of the agency to provide a guarantee on each qualified mortgage loan. You find that the agency will only guarantee up to a quarter of the loan amount and the government will guarantee the rest. One good thing with this is that it will give confidence to the lenders and help service members secure great terms and rates.
Apart from that, but you will also get veteran home loans with a bad credit history. You find that service members with a history of bankruptcy will still be able to secure veteran home loans and enjoy the benefits.
Last but not least, you should also know the veteran home loans does not have mortgage insurance. It is essential to note that when you are excused from making this payment, you will be in a position to save a lot of money in the long run.