What Most Borrower's Don’t Know About VA Loans

Most people don't know much about VA loans. They think they will have to pay a lot of money for their home because the interest rates are very high. This isn't always true, however. Many borrowers can get away with loans that have low Florida VA home loan rates or even 0% Florida VA home loan rates on down payment requirements if they qualify for them. Moreover, this is only one of the ways in which VA home loans can be so attractive and beneficial. Here is what you do not know about VA loans:

Used More Than Once

The VA loan program from Ace Mortgage Loan Corporation in Florida is designed to help service members pay for a home after they complete their military service or return from deployment. However, many people don't realize that it can be used more than once.

A veteran who purchased a home with original VA home loans in Florida may refinance the property with other VA home loans in Florida if he or she has made a down payment of at least 5 percent of the purchase price. A veteran who has had only a zero-down mortgage can do so with as little as two years' worth of occupancy on the property.

You Don't Need a Down Payment or Mortgage Insurance

VA loans have no mortgage insurance requirement, which means you can buy a home without having to come up with thousands of dollars in cash just to get started on the mortgage. This makes it easier for veterans and active duty members of the military to qualify for homes they might otherwise be unable to afford because they don't have enough money for a deposit or enough income for an expensive down payment. The only requirement is that borrowers pay closing costs themselves, which usually come out of their own pockets anyway. This can include everything from title searches, surveys, and attorney fees to appraisal fees and credit checks.

The Surviving Spouse of the VA May Be Eligible

Surviving spouses are able to apply for a VA loan in Florida within two years of their spouse passing, as long as they do not remarry before applying. This benefit protects survivors from having to start their home-buying process all over again after losing their partner.

Foreclosure

VA loans offer protection against foreclosure and other financial hardships. This is if you become disabled or are experiencing a health issue that prohibits employment. The disability must be sustained while on active duty service or within 12 months of discharge from active duty service. The VA loan in Florida will not consider disabilities incurred prior to service or after discharge unless there is a clear link between the conditions and your military duties.

Use it for Land

The VA loan program was created to help veterans buy homes after returning from war. However, not everyone who uses a VA loan buys a house. The VA will allow you to use your entitlement for land as well. This means that if you're planning to build a home on vacant land, you can use your entitlement to purchase the land and then build your dream home.

Summing Up

If you're a military veteran, then you've probably heard of Veterans Affairs loans (or VA loans). You've probably also heard that they're easier to get than regular home loans. Well, it's not a lie. VA loans just require a little more work than other home loans. In fact, if your credit score is decent and you have a down payment saved up, you're well on your way to getting your own home with a VA loan. In case you need a VA loan, Ace Mortgage Loan Corporation is here for you. Give us a call today for affordable rates.