VA loans give veterans a chance at home ownership-but there’s a lot of confusion and a bit of complexity around the VA loan that frequently make home sellers and seller’s agents wary of accepting them. Considering Veteran’s Day this past Friday, we wanted to debunk some of the myths around VA loans, and in addition share some tips for veterans on the way to make a competitive offer on a house using a VA loan. See them here
Loans for Military Members and Veterans to purchase homes
August 18, 2014 by
Loans for Military Members and Veterans to purchase homes
Active military and veterans can get jumbo home loans guaranteed by the VA. Interest rates are competitive, down payment requirements are much lower, and private mortgage insurance is waived.
In his 30-year career with the Air Force, Chief Master Sgt. Jim Roy and his wife, Paula, lived in 12 different homes. When Mr. Roy retired last year, the couple settled down in a home of their own—with a little help from the VA.
Charmed by the friendly people and mild winters, the Roys decided on the Charleston, S.C., area. They found a four-bedroom, 3½-bath house for themselves and their 14-year-old twin boys, Caleb and Colby. “My wife and I saved for 31 years, and this is the house we wanted to be in,” Mr. Roy, 50 years old, says.
The house, built in 2008, had a purchase price of $575,000, which normally would require a jumbo mortgage and a 20% down payment because it exceeded the area’s $417,000 limit for conventional loans. (That limit can reach $625,500 in some high-price areas.) However, as a veteran, Mr. Roy qualified for a mortgage guaranteed by the Department of Veterans Affairs.
VA home loans are available through banks and other private lenders. As with other mortgages, interest rates of VA-guaranteed loans can be either fixed or adjustable, depending on the lender. Down payments are low, if required at all. Private mortgage insurance requirements are waived as well. The loans can be used only on primary residences and not on secondary or vacation homes.
To see the complete story Loans for Military Members and Veterans to purchase homes please visit www.TampaHomesSold.com/Nick-Cindy-Davis-Blog.aspx if you have any questions you can always email Nick & Cindy Davis at NickandCindyDavis@TampaHomesSold.com or call us at 813-300-7116.
