8 Myths About Veteran Loans:

There are several myths about the Veteran affairs home loan program that hinders those people who are trying to buy a home. Such myths include a lack of right information about who is eligible for a VA loan and when about lower home mortgage interest rates and more. But, do not allow these myths to hinder your right to get VA loan- explore all the options and the eligibility criteria on your own and check the data established by the services. 

Here are few more common myths about Veteran affairs home loan program you must be aware of;

 You Need Perfect Credit To Be Approved: 

Fact; VA encourages approved lenders to provide VA loans to all the qualified applicants, but it does not describe the least credit score. Each lender has its different criteria on which they verify if the borrower meets the requirement to repay the loan or not. Moreover, the typical credit score is approximately 620 or more to apply for a VA loan.

Only Combat Veteran Are Eligible:

Veteran affairs home loan program service is available for Veteran with active duty service members, National Guard members, surviving spouses, and other individuals are eligible for home loans. You can apply for a loan if you are;

•  Military Veteran
• Reservist or National Guard Member
• Surviving Spouse
• Academy Cadet or Midshipman
• National Oceanic & Atmospheric Administration Officer
• Public Health Service Officer

  Modern Home Loan Needs A Bug Down Payment:

 

The Veteran affairs home loan is one of the mortgages that does not need a down payment. There are several regulations around the VA loan that add benefits to it. The most qualifying service members who apply for VA loans do not have to make a down payment. 

A VA Loan Can Only Be Used Once:

Borrowers usually use their full VA loan to purchase their home, but the remaining amount can be used to buy another property. Moreover, when you pay off your VS mortgage loan, then you are allowed to apply for another loan to buy another property. 

“Note: VA loan is only approved if the single person is intended to buy a property if there are partners in one property, then only one person is allowed to borrow the loan for the residence. The VA loan cannot be divided into participants.”

The VA Loan takes Too Long:

 

This is not true; even VA loan approvals do not take time- once you signed the documents and the purchasing contract, your lender can approve the VA loan. Once the formalities are done, the VA will dispatch it to the next level. As per the VA guidelines, the loan approval could take seven to 28 business days, depending on the property and the formalities.

VA Loan Can Be Used To Buy RV:

Unfortunately, this is not true. The VA loan can only be used to buy a home with a fixed permanent foundation. VA loans can only be approved for the property that is legal and is classifiable as real estate. 

“Note: RV and houseboats cannot be counted as real estate; therefore, they cannot be approved for Veteran affairs home loan program.”

VA Loan Is To Buy Single Family House:

 

This is absolutely wrong. VA loans are not only for the single-family house, but there are different ways you can look for to use your VA loan including; 

 

• You can purchase a single-family house
• You can go with condominium unit in a VA-approved complex
• You can make a purchase of multi-family property (up to 4 units per VA-eligible borrower)
• You can just buy land and can build a home
• Buy and improve a property
• Make renovation and improvements in your home
• Buy a manufactured home and/or lot (certain lenders)
• Cash-out or regular refinance your VA or non-VA mortgage

 

There are more myths about the Veteran Affairs home loan program, but you need to be aware of them and just look for the right guidelines and information to continue with your loan.