A Consumer’s Guide to VA Home Mortgages

1. A Consumer’s Guide to VA Home Mortgages A VA home loan is available to veterans and active duty personnel. This loan features a lower interest rate than conventional mortgages. Most VA loans do not require a down payment. However, there are certain reasons that a down payment may be required, including the purchase price is more than the appraised value of the home, the mortgage offers a graduated payment scale or the lender requires a down payment. Finally, many VA-backed mortgages offer longer repayment options and the closing costs associated with the loan are lower. Qualifying for a VA Guaranteed Mortgage In order to qualify for a VA-guaranteed mortgage in San Diego, the applicant must have suitable credit based on the guidelines set forth by the Department of Veteran’s Affairs, the income necessary to qualify for the loan and a Certificate of Eligibility. The home being mortgage must be occupied by the veteran applying for the home. Locating a Mortgage Lender Veterans and active duty military service personnel can apply for a VA- guaranteed loan by applying at a private mortgage lender in the San Diego area. These lenders include mortgage brokerage companies, banks and savings and loan companies. These lenders will have the necessary forms that will need to be completed to apply for a VA guaranteed mortgage. The Application Process

2. During the application, the veteran or active duty service personnel will need to have their certificate of eligibility. If they do not have their certificate of eligibility, the lender may help them fill out the papers necessary to apply their certificate of eligibility. Once the lender has the certificate of eligibility, the loan application can be processed. In addition to a certificate of eligibility, the applicant will need to provide the names, addresses and telephone numbers of their employers for the last 2 years, copies of the last 3 months’ bank statements for any checking or saving accounts and a list of all debts and obligations. After this information is gathered, the lender will order a credit report. If the credit report is acceptable, the mortgage broker will make a determination of whether the loan can be approved. What Properties Can a VA Guarantee Be Used for? VA loans can be used to purchase a home or condominium approved by the Veterans Affairs or in a VA-approved project. The loans can also be used to construct a private residence or buy a manufactured home and lot. Additionally, buyers can use a VA loan to purchase and renovate a home. Finally, VA loans are available to help make an existing home more energy efficient. How a Specialist Can Help You Get a VA Guaranteed Loan Mortgage specialists in the San Diego area work with active service personnel and veterans to find a home that will qualify for a VA home mortgage. They will help the applicants gather the necessary paperwork and apply for a VA guaranteed mortgage. A specialist will be with the applicant during each step of the process. They know which

3. appraisers and surveyors are approved for VA mortgage, the qualifications for a VA loan and how to speed up the application and approval process. A VA home mortgage is a wonderful way for active duty servicemen and servicewomen and veterans of the armed forces to get a mortgage that offers lower closing costs, no down payments and lower interest rates. These loans feature no prepayment penalties and are guaranteed by the Veterans Administration. All veterans are treated equally with no regard to national origin, sex, race, religion, color, familial status or handicap.