Finding affordable mortgage is not easy nowadays especially for the military veterans. However, things have been better for the servicemen since the introduction of the veteran home loan program. These are special loans given to those military personnel to help them buy homes.
The fact that this is a unique loan means that there are unique requirements too. For example, you cannot qualify for it unless you were active for 90 consecutive days during wars like World War II, the Korean War, the Gulf War, the Vietnam War and the 24-month rule. Alternatively, you must have served as a military reservist for at least six years. The other way to qualify is if you served for 181 days when there was no war.
As far as the government is concerned, the conditions listed above are what you must meet to get the Certificate of Eligibility. The government demands aside, you also need to meet the lenders conditions. For example, you need to ensure that you have a stable income and that you have no unpaid debts
The loans have a lot in store for the applicants. For starters, they are supported by the federal government and require no first payment. The fact that you do not need any deposit to apply for these loans means that even active military personals can get it.
The other benefit is the absence of private monthly mortgage insurance. This requirement is mostly used by the banks to counter defaulters. However since these loans are backed by the federal government, there is no need for insurance. Other advantages include lower interest rates and the use of you house allowance to service the mortgage. You are also free to pay off your mortgage even earlier without worrying about the pre-payment penalty.
The loans are also flexible in terms of usage. For instance, you could use them to buy a new home (even a manufactured one). Alternatively, you could improve the installations at your place or build a new home using the same loan. Better still, servicemen can buy homes and refurbish with the money.
Additionally, the application process is never a demanding one. Indeed, it is simpler than the regular application. First, you identify an approved lender as well as the house you want to buy. The next process is to get your Certificate of Eligibility of course after signing the Purchase Agreement with a qualified real estate agent.
As soon as you have the certificate of Eligibility and a duly signed Purchase Agreement, you are cleared to take them to the lender for the application processing. The processing involves looking into your financial records to determine whether you qualify for the veteran home loan or not. The funds are then given provided you have no debts from other loans.
The fact that this is a unique loan means that there are unique requirements too. For example, you cannot qualify for it unless you were active for 90 consecutive days during wars like World War II, the Korean War, the Gulf War, the Vietnam War and the 24-month rule. Alternatively, you must have served as a military reservist for at least six years. The other way to qualify is if you served for 181 days when there was no war.
As far as the government is concerned, the conditions listed above are what you must meet to get the Certificate of Eligibility. The government demands aside, you also need to meet the lenders conditions. For example, you need to ensure that you have a stable income and that you have no unpaid debts
The loans have a lot in store for the applicants. For starters, they are supported by the federal government and require no first payment. The fact that you do not need any deposit to apply for these loans means that even active military personals can get it.
The other benefit is the absence of private monthly mortgage insurance. This requirement is mostly used by the banks to counter defaulters. However since these loans are backed by the federal government, there is no need for insurance. Other advantages include lower interest rates and the use of you house allowance to service the mortgage. You are also free to pay off your mortgage even earlier without worrying about the pre-payment penalty.
The loans are also flexible in terms of usage. For instance, you could use them to buy a new home (even a manufactured one). Alternatively, you could improve the installations at your place or build a new home using the same loan. Better still, servicemen can buy homes and refurbish with the money.
Additionally, the application process is never a demanding one. Indeed, it is simpler than the regular application. First, you identify an approved lender as well as the house you want to buy. The next process is to get your Certificate of Eligibility of course after signing the Purchase Agreement with a qualified real estate agent.
As soon as you have the certificate of Eligibility and a duly signed Purchase Agreement, you are cleared to take them to the lender for the application processing. The processing involves looking into your financial records to determine whether you qualify for the veteran home loan or not. The funds are then given provided you have no debts from other loans.
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