The VA Way: Veteran's Affairs and Real Estate

Since its inception in 1944, the VA Loan Guarantee Program has arguably become one of the most powerful tools a lender has to help qualified veterans realize their dream of homeownership.   There are millions of veterans who are eligible to take advantage of this program. The program is also available to active duty military, as well as surviving spouses of veteran who died in service or as a result of service. 

Overall, the benefits and features of a VA loan program are vast, but there are a few highlights that truly make it unlike any other loan program offered today. The first key advantage is that VA loans do not require a down payment or private mortgage insurance. In addition, VA loans typically have more flexible credit standards than most conventional programs, so you will find that borrowers who did not qualify conventionally may qualify for a VA loan. In today’s low interest rate environment, VA loans offer some of the lowest rates available; this in combination with the fact that they are also assumable could also prove to be an important selling tool down the road.  VA loans do have a funding fee up-front, which can be financed into the loan amount, and varies based upon:  down payment, if the borrower has previously used their VA eligibility, and if they are a national guard/reservist or a veteran/active duty.  Borrowers who receive VA disability are usually exempt from this fee.

The mortgage credit certificate program is another great way to help more veterans and first time homebuyers qualify for home loans, stay tuned for next time where we will go over more details on this little known tax credit!


written by Shannon Foley




Hart Real Estate Solutions


Hart Real Estate Solutions Bozeman Montana



Comment balloon 0 commentsHart Real Estate Solutions • March 21 2012 08:04AM