All You Need To Know About VA Loans

VA loans for low credit score are a great option for veterans who are facing problems with their loan approval due to a history of bad credit, leading towards a lower credit score. The VA loan program was created specially to cater to such veterans to encourage them to become home owners and as a way to appreciate their services to the country.

This specific program however is not just limited to veterans. There are others who can qualify for these VA loans for low credit score and they are:

  • Veterans who meet length of service requirements
  • Service members on active duty who have served a minimum period
  • Certain Reservists and National Guard members
  • Surviving spouses of veterans who are deceased

Apart from that, the following people are also eligible for VA loans:

  • Midshipmen at the U.S. Naval Academy
  • S. Public Health Service officers
  • Members and Reservists of the National Guard
  • Cadets of the U.S. Military, Air Force, or Coast Guard Academy
  • World War II Merchant Seamen
  • Atmospheric Administration & National Oceanic officers

Benefits of VA Loans

  • The VA department provides an equal opportunity for all qualified Veterans to obtain a VA loan
  • The VA loan is a reusable loan
  • There is no need to pay for a down payment (unless required by the lender or the purchase price is more than the reasonable value of the property)
  • There is no mortgage insurance that a borrower has to pay
  • Only a one-time VA funding fee is required and that too can be included in the loan
  • Those Veterans who are receiving VA disability compensation, are exempt from the VA funding fee
  • VA limits certain closing costs a Veteran can pay
  • Can be assumed by qualified persons
  • Minimum property requirements to ensure the property is safe, sanitary, and sound
  • VA staff dedicated to assisting Veterans who become delinquent on their loan

Author Bio:

Joan Gallardo with his 18+ years of experience as Senior Loan Officer is a wealth of knowledge dealing with VA lenders for low credit scores. Through his articles, you can get to know about the various requirements of VA lenders for low credit scores along with information on eligibility criteria and benefits.