A VA loan is a specific loan program, that is guaranteed by the Department of Veteran Affairs, to help veterans, active military members and survive military spouses purchase a home. The Department of Veteran Affairs (VA) creates the requirements that applicants must meet but they do not actually make the loan. The loan will be created at a financial institution, such as a mortgage company or bank.
Who is Eligible
To meet the basic eligibility requirements for a VA home loan, you must meet one of the following criteria:
- Served 90 consecutive days of active service during wartime
- Served 181 days of active service during peacetime
- Have more than 6 years of service in the National Guard or Reserves
- Be the spouse of a service member who has died in the line of duty or as a result of a service-related disability
The list above is a good indication of the basic eligibility requirements but ultimately the Department of Veteran Affairs will determine eligibility.
Types of VA Home Loans
There are three types of VA home loans available to veterans.
- VA Purchase Home Loan- This type of loan allows veterans, who have met credit and income qualifications, the opportunity to purchase a home.
- VA Refinance Home Loan- This type of loan allows homeowner veterans, who are in need of cash, to take equity out of their home. This is a great option for homeowners who want to do a home improvement project.
- VA Streamline Refinance Home Loan- This type of loan is also known as an interest rate reduction refinance loan, which allows homeowners to refinance their home in an effort to lower their monthly payments.
How to Find Your Nearest VA Office
For more information on VA loans, you can contact the Veteran Affairs office. To find your nearest VA office, you can use this link > https://www.va.gov/directory/guide/home.asp
Applying for a VA loan
To get started on the VA loan application process at Paramount, you can visit this link to receive your free quote > https://www.paramountequity.com/purchase/va-home-loans