Common Myths About VA Loans

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 the

loan 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 220

Scottsdale, AZ 85258

Phone: (480) 351-5904

Email: jimmyv@fcbmtg.com