how to determine if you are eligible for a va loan

HOW TO DETERMINE IF YOU ARE ELIGIBLE

FOR A VA LOAN

Veteran’s benefits are one of the ways in which we are

able to show veterans our appreciation of their service

to the country.

One key benefit is the VA-guaranteed home loan.

If you’ve wondered how to get a VA loan, here are a

few basics you need to know.

ELIGIBILITY

If qualified, loans can be used to

purchase a condominium or house,

improve a home, build a house, or

buy a manufactured home and/or lot.

The home must be for

personal occupancy.

To proceed with the process you

must obtain a Certificate of Eligibility

(COE) that verifies to the lender that

your discharge conditions and

service requirements authorize you

for VA backing.

A mortgage broker or lender that

specializes in this type of mortgage

lending can help you verify personal

eligibility and apply for the COE.

CREDIT

Generally a VA-guaranteed mortgage is a real plus because:

It guarantees repayment to the lender of at least a

portion of the loan

Thereby allowing the lender to be a bit more

relaxed about credit and credit score criteria.

It is a good idea to familiarize yourself

with your FICO score and credit report

prior to approaching a lender.

If your score is negatively impacted by

issues such as unpaid collection items,

past dues and so forth, you may want

to pay off or pay current so that your

score will improve.

It is important to demonstrate to

potential lenders that you are reliable

about paying debt obligations.

To get a free copy of your credit report,

once each year go to www.annualcreditreport.com.

Lenders also want to know if you have

the cash flow availability to pay the

mortgage note.

This is known as debt-to-income

ratio. Review your debt structure

and determine what percentage of

the household income is committed

to set monthly bills…

… and how much is discretionary

income. The more discretionary

income you have, the better.

EXTRA BENEFITS

Generally if the appraisal value of

the home is the same as or more

than the sales price …

… you may not be required to

make a down payment, or can

pay less than the lenders

normal requirement.

You do not have to be a first-

time buyer, and the benefit can

be reused.

Other qualified veterans may be able

to assume your loan in the future.

EMPLOYMENT

A potential lender wants to know that you have an

adequate and reliable income flow to be able to

make house payments for the life of the loan.

It is safe to assume that your

employment, including length of

employment, will be verified.

Two years of steady employment is

desirable, and if it is with the same

employer, even better.

There are always exceptions to the

rule so don’t despair if you cannot

meet this burden.

Be prepared to explain why the exception, and to

offer some type of evidence as to the

dependability of future cash flow streams.

TOUCHES FINISHING

Once you have worked with

your real estate professional to

find a home, negotiated an

acceptable price …

… signed a purchase

agreement, and applied for the

VA Loan, the lender will begin

the approval process.

If approved, the house will be

appraised and inspected.

Once these processes are

completed a closing date will

be set so the property can be

transferred to you.

With all of this in mind, happy house hunting!

Jimmy Vercellino,

VA Loan Specialist helps

veterans obtain the loans they

are entitled to.

He served in the United States

Marine Corps, and now devotes

himself to the Veteran home buyer in

the Phoenix area, fulfilling a passion

of his while at the same time helping

others achieve home ownership.

Be a proud homeowner today.

For more details call 480-351-5904 or visit the site

www.valoansforvets.com

VA Loans for Vets 7702 E. Doubletree Ranch Road,

Suite 220

Scottsdale, AZ 85258

Phone: (480) 351-5904

Email: jimmyv@fcbmtg.com