Misconceptions and Lack of Knowledge have kept soldiers from buying a home using their VA benefit.
Why Use Your VA Benefit?
The VA guarantee provides you with more favorable terms, including:
- No downpayment unless required by the lender or the purchase price is more than the reasonable value of the property
- No private mortgage insurance premium requirement
- VA rules limit the amount you can be charged for closing costs
- Closing costs may be paid by the seller
- The lender can't charge you a penalty fee if you pay the loan off early
- VA may be able to provide you some assistance if you run into difficulty making payments
You should also know that:
- You don't have to be a first-time home buyer
- You can reuse the benefit
- VA-backed loans are assumable, as long as the person assuming the loan qualifies
