If you are a first-time home buyer then it’s natural to find the entire process of getting a VA loan intimidating. Once your eligibility is determined, the VA loan application is likely to be completed in about 40 days. Before the process of home buying is triggered off, the application for a VA loan has to be filed along with the necessary documentation. Lenders will determine your creditworthiness, employment history, and financial situation before anything else gets underway. Here are some important things to consider and keep in mind while going about the purchase of your new home with the help of a VA loan.
Documentation for VA Loan Application
The VA loan lending company will ask for your recent pay-slips, government-issued photo identification, and a copy of your DD-214. You will also have to furnish your investing, bank, and retirement statements. In case you have rental, self-employment, or 1099 income, then the federal tax returns of the last two years have to be filed. If you are serving currently, then a statement of service authenticated by your commanding officer becomes a must. The VA loan lender will ask for the details of any additional documentation in line with your financial situation.
You must understand all aspects of the loan and its ancillary charges before moving ahead. For instance, Bruce Glassinger of www.valoanlending.com explains that one reason to find a broker that doesn’t charge loan origination fees is so that you have that extra several thousand dollars to put toward home landscaping and decoration. You must also disclose all the important aspects of your finances as accurately as possible to facilitate the loan application process and prevent any denial.
Eligibility for VA Loan
You can gain eligibility for a VA loan if any one of the following criteria are met:
- You have served during wartime and have logged 90 days of consecutive active service.
- You have 181 days of active service to your name during peacetime.
- Your service in the National Reserves or Guard is no less than 6 years.
- Your spouse was a late service member who passed away in the line of duty.
- The death of your spouse was caused by some service-related disability.
- Your spouse was a service member whose death can be linked to Apply for a Certificate of Eligibility (COE). This confirms that you hold eligibility for VA home loan-related benefits. Now, you need to apply for the loan according to the laid down regulations.
Get in Touch with a VA Loan Lender
Reaching out to a VA loan lender earlier in the day can help you go through the documentation and other processes seamlessly. Professional lending companies can get your home loan approved easily. You may want to compare the rates charged by different lenders to freeze upon the most preferred one. Once the formalities are through, it will just be a matter of time before you can move into your new home.