Available to more than 22 million veterans and active military members, VA loans are somewhat easier to qualify for than conventional mortgages.
As banks tighten lending standards, demand has increased tremendously in recent years for Veterans Affairs mortgages, known as VA loans. Available to more than 22 million veterans and active military members, VA loans are somewhat easier to qualify for than conventional mortgages
The VA loan remains one of the few mortgage options for borrowers who don’t have down payments.
The days of no-down-payment mortgages are long gone, but not for veterans. Loans guaranteed by the VA can be obtained without any down payment.
Another plus: A VA loan doesn’t require mortgage insurance, as do Federal Housing Administration and conventional loans with less than 20 percent down payment. The benefit translates into significant monthly savings for VA borrowers.
Most members of the military, veterans, reservists and National Guard members are eligible to apply for a VA loan. Spouses of military members who died while on active duty or as a result of a service-connected disability may also apply.
Active-duty members generally qualify after about six months of service. Reservists and members of the National Guard must wait six years to apply, but if they are called to active duty before that, they gain eligibility after 181 days of service.
Potential borrowers must obtain a certificate of eligibility before applying for a loan. The form can be submitted online.