VA loan offers a ton of benefits including $0 down, no mortgage insurance, and limits to what buyers can pay in closing costs. This is a great program that has helped millions of veterans and military members become homeowners since World War 2. So in the spirit of Veterans Day, let’s go over all the qualifications that you need to be a good candidate for a VA home loan.
Eligibility
In order to get this loan, veterans and active military need to meet certain service requirements. Ultimately the VA determines who has access to this program, but in most cases, buyers are eligible if they meet the following service conditions.
- 90 consecutive days active duty during wartime
- 181 consecutive days active duty during peacetime
- 6 years in the National Guard or Reserves
These are broad guidelines and there can be exceptions. For example, some surviving spouses of service members and veterans may be able to have VA loan eligibility.
$0 Down
If no down payment sound like a wish come true the VA home loan may be right for you! This is one of the significant benefits of a VA loan because conventional loans require at least 5% down and if you put down less than 20% you have to pay mortgage insurance. VA Loans do not require mortgage insurance regardless of how little you put down if anything at all.
Primary Residence
The VA Home Loan Program is focused on getting active military and veterans into homes that they will live at full-time. So you can not use this loan to buy a vacation home or rental properties.
No Fixer-Uppers
The VA wants to not only put active military and veterans into homes, but they want to ensure that they are safe. So the property needs to meet the VA requirements.
