| A VA loan is a mortgage subsidized and covered by | | | | provide a "Statement of Service" which you can |
| the federal government, Department of Veterans | | | | obtain from your personnel office on the military base |
| Affairs, and granted to members of the U.S. military | | | | you are attached on. |
| personnel honorably or medically dismissed, including | | | | Similar to conventional loans, VA follows certain |
| their spouses. The advantage of getting this type of | | | | guidelines that determine admissible |
| loan is that it has lower interest rates and it does not | | | | income-to-debt-ratios. So, there is a need to be |
| require you to pay a down payment or initial | | | | prequalified for the loan. Like other types of |
| investment. Applying for a VA loan is not different | | | | mortgages, you will need to be qualified to avail a VA |
| from other types of loans. The usual procedure | | | | loan because being eligible does not mean you are |
| applies, the veteran has to apply for the loan and go | | | | already qualified. Not every military professional will |
| through the lender's credit requirements. If you want to | | | | qualify for the loan. To avail this program, you must |
| get a VA guaranteed home loan, there are steps to | | | | have a stable income and job history. The lender will |
| consider in the road to obtaining this loan. | | | | verify your employment, income and credit history. So |
| The first thing to do is to check your military record. | | | | it is important to have reasonably good credit standing. |
| Generally speaking, you are eligible for this type of loan | | | | VA will allow a standard 41 - 45% of your pretax |
| if you have completed a minimum of 181 days during | | | | monthly earnings to go with your credit debts and new |
| peace time or 90 days or 90 days throughout the war | | | | house payment plan. |
| time as an active duty member military. National Guard | | | | In addition, VA looks on alimony, child care and child |
| and Reservist personnel who served 6 years or more | | | | support expense as circulating debt when qualifying |
| are also eligible. Desert Storm veterans are qualified to | | | | you for a VA loan. Family size is also another thing VA |
| get VA loan no matter how long they served in active | | | | considers. Having more dependents will qualify a |
| duty or reserve service. Unmarried surviving spouses | | | | veteran for less of a loan amount. VA also has |
| of veterans that were killed during active service are | | | | another formula; a more complex formula that they |
| also eligible. | | | | use to make sure your income is enough to avail the |
| The veteran must provide a VA certificate of eligibility | | | | loan. To determining your maximum house payment, |
| which can be ordered from the VA. Lenders can | | | | VA will consider the lower payment from the two |
| make a request to get this form. But before you order | | | | formulas. Providing all the paperwork needed for this |
| this form, you should secure a copy of the DD Form | | | | loan and becoming prequalified are important steps in |
| 214 indicating honorable or acceptable medical | | | | getting a VA loan. |
| dismissal. If you are still in active duty, you need to | | | | |