Common Myths About VA Loans

Getting your home mortgage through the VA guaranteed home loans for veterans program is good way to acquire financing for your purchase at a favorable interest rate.

The program has allowed millions of veterans and active duty service members to purchase a home often without a down payment and at a better interest rate than with conventional loans.

Dispelling some of the myths about the VA home loans will help homebuyers understand the requirements of the program..

Myth 1The Application Process Is Complicated

Myths about the complexity of the VA home loan application process have discouraged many people from taking advantage of this helpful program.

It is true that you will have to provide proof of your service record.

This proof is accomplished by a number of specific forms, depending on your status.

However, many lenders have specially trained loan personnel to help you find the correct documents for your application.

Myth 2You Must Have Perfect Credit

Even if you don’t have a perfect credit record, you may be approved for a loan under the VA guaranteed home loan program.

However, your credit score may affect the interest rate of the loan.

Most VA loan providers require a credit score of 620. This number is significantly below the score required for most conventional loans.

A perfect credit score is 850, and an average score is around 763. So the VA home loan program is quite lenient regarding credit scores.

Myth 3You Can Use A VA Loan To Purchase

Investment Property

The VA guaranteed home loan program requires that you use the property as a primary residence.

These loans were designed to provide guaranteed loans to make it easier for first time buyers to purchase a home for themselves and their families.

Homeowners who refinance through the VA streamlined refinance program do not have this requirement.

Myth 4Loan Fees For VA Loans Are Expensive

While it’s true, acquiring a VA guaranteed home loan involves paying a fee for the program, this amount is not prohibitively expensive, and it can be rolled into theloan amount.

This fee helps to fund the VA loan program so that others can also benefit. Currently the funding fee is 2.15 percent for a no down payment loan.

Myth 5Home Appraisals For the VA Program

Can Be A Problem

This myth has circulated because the VA home loan program does require that the property conform to minimum standards in regard to plumbing, electricity, roofing and termite infestation.

If these systems are in good condition, the VA and the lender are assured that the home is worth the loan amount.

Myth 6Approval For A Loan Is “Guaranteed”

For the Military

No one is “guaranteed” to get a home loan. Applicants must fulfill basic loan requirements.

The “guarantee” part of the VA home loan program only guarantees that the lender will get their money back if the homeowners cannot pay the mortgage.

However, a lender who is guaranteed to get their money is more likely to provide a loan to an applicant.

A VA loan specialist can answer questions about the program and can help you to acquire your home financing faster and more easily.

Contact your local VA loan specialist today to start the process toward owning your own home.

Our VA Loan Specialist helps veterans obtain the loans they are entitled to.

He served in the United States Marine Corps, and now devotes himself to the Veteran home buyer in the Phoenix area, fulfilling a passion of his while at the same time helping others achieve home ownership.

Be a proud homeowner today.

For more details call 480-351-5904

or visit the site @www.valoansforvets.com

VA Loans for Vets7702 E. Doubletree Ranch Road,

Suite 220Scottsdale, AZ 85258

Phone: (480) 351-5904Email: jimmyv@fcbmtg.com