VA loans have provided service members with opportunities otherwise unavailable to the general public for nearly 80 years now. Essentially, VA loans function as a $0-down mortgage option for active-duty service members, National Guard members, U.S. veterans, reservists, and eligible spouses. VA loans offer purchase, streamline refinance, or cash-out refinance options. If you or your spouse fall under any of the aforementioned categories of service members, there is a very good chance you will qualify for a VA loan. Read on to learn more about VA loans. Here are some of the questions you may have:
How do I get a VA loan?
There is a process all those seeking a VA loan must follow. First, you must get prequalified for the loan and receive an estimate regarding what you can realistically afford. From here, you must get preapproved. Essentially, you will have to get your income and financial information verified by a lender. As long as everything checks out, you will receive a preapproval letter, which you can use to confirm you are eligible for certain homes when it comes time to speak with real estate agents and home sellers.
Once you find the home of your dreams, you can go ahead and make an offer and begin negotiations. Generally, it is best to hire an agent who knows the ins and outs of VA loans. Next, your lender will order a VA appraisal and your financial situation will be analyzed. Finally, you will be issued a clear to close, you’ll complete all the necessary paperwork, and then you’ll officially own your new home!
What homes qualify for VA loans?
First of all, you should know that VA loans apply only to primary residents. This means that you may only receive a VA loan on a home you plan on living in full-time–in other words, not a vacation home. Additionally, VA loans only apply to single-family homes, modular housing, multi-unit properties, condos, and the like. This means that if you are looking to start a business, for example, you may not use a VA loan.
If you have any questions regarding real estate or the home-buying process, do not hesitate to reach out to our seasoned New Jersey firm.
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Juan C. Velasco, Esq. is a trusted attorney who concentrates on bankruptcy, family law, real estate, and estate matters who has been serving the New Jersey area for over 20 years. If you need experienced legal counsel, please contact Velasco Law Office and we will be happy to assist you.