A simple story from someone who was interested in a VA loan:
“If you have served in the Military, you are able to apply for a VA home loan. This is a very good option and a great way to get into a home. This is the route that we took in order to get into our first house.
When we applied for a home loan we knew that we would not be able to bring much to the table. With a VA mortgage you really don’t have to have a lot of extra money to get your loan. In the end we only spent about $500 during the whole process.
We knew that if we were able to get a VA loan that we would be able to get a better mortgage rate. Since VA loans are backed by the government, banks charge lower interest rates on them. This is very important if your credit score is not ideal.
Although you can get a VA loan with a lower than average credit score, they do have a cut off. Most banks want you to have a score over 620. If your score is lower than that you will most likely have to work on it a bit before you can get a loan.
The VA can be a bit picky when it comes to homes that need repair. It would be best to find a Realtor who is familiar with VA loans. They will be able to point out if there might be an issue with a particular house getting approved.
I think the reason we had such a good experience with our VA loan was partly because our Realtor knew what was acceptable to the VA and what wasn’t. She pointed out when she thought something in a house we were looking at would cause an issue when the VA came to approve the house. The house we ended up buying didn’t have any issues and passed the VA inspection without any problems.
This doesn’t mean you can’t buy an older house with a VA loan. You just need to be aware of what they are looking for and what you and your budget would be able to fix if need be. It would be frustrating to find out the house of your dreams won’t be approved and that you can’t afford to fix what they need you to fix.
If there is anyway you can qualify for a VA loan, I would suggest you go that route. It will be the easiest way for you to achieve a home loan and get into your own house. It will most likely be a better choice for you than going with a conventional loan.”
Are you interested in a VA loan? Find a loan officer at a VA approved lender who can help you today.