Top VA Home Loan FAQs
Frequently Asked Questions about Military Loan Benefit
The following list answers the top queries that have been asked by actual iFreedom Direct® VA borrowers.
Q: Who’s eligible for a VA loan?
A: Regular military members who’ve served 2 years, Reservists and National Guard members who’ve served 6 years, and certain surviving spouses may be eligible for VA home loan benefits. Shorter service durations may be acceptable for wartime and disabled vets.
Q: How much can I borrow?
A: Qualified borrowers can get VA mortgages up to $417,000 in most U.S. counties, and higher is some high-cost counties up to conforming limits with zero money down.
Q: What kind of interest rate can I get?
A: Because a VA borrowers interest rate is typically not determined by credit score, VA loan have an interest rate advantage over conventional loans. Generally, interest rates for VA loans are competitive with the national rate.
Q: Is it hard to qualify for a VA loan?
A: Many say qualifying for a VA loan is very straight forward. Lenders are given flexibility to determine whether a borrower is a satisfactory credit risk based on a set of VA guidelines for credit, debt-to-income ratio and residual income.
Q: Can I get a joint VA loan?
A: VA-eligible borrowers can get joint loans with their spouses or other VA-eligible borrowers and receive the full VA guarantee. If getting a joint loan with a non-spouse or someone without VA home loan benefits, then only the veteran’s portion of the loan liability will be guaranteed.
Q: What if I am deployed overseas and can’t occupy the home right away?
A: The VA requires the borrower to move into the home within 60 days of closing. Those deployed away from home may have up to a year to move in, but verification is required.
Q: What if I have bad credit or bankruptcy in my past?
A: Bad credit or bankruptcy can affect qualifying for a loan. However, poor credit can be improved with a little work in paying off bills and getting back on track. Bankruptcy typically takes one or two years to recover from, and borrowers need to be diligent about staying on schedule if paying back a delinquent VA loan.
Q: What fees will I be charged to get a VA loan?
A: The costs of getting a VA home loan may include a VA funding fee, an origination fee, interest rate reduction points, a VA appraisal fee, property taxes and insurance, possibly flood or other hazard insurance, title company fees and other closing costs.
Q: What kind of home loan benefits do surviving spouses receive?
A: Eligible surviving spouses receive similar home loan benefits as those earned by military members. The VA funding fee is waived for surviving spouses.
Q: What kind of property can I finance with a VA loan?
A: Previously owned and new construction single family homes are eligible. They just need to be in safe “livable” condition as determined by a VA-approved appraiser. Condominiums and townhomes must be VA-approved. Finally, some manufactured homes are also financeable. They need to be classified and taxed as real estate, must be affixed to a permanent foundation, and must conform to building codes and zoning requirements; however, not all lenders offer VA financing for manufactured or modular homes.
To receive answers to your own questions, contact one of our loan professionals at 888-589-1665 without obligation or click on the form to the right to submit your information.