VA Home Loans In Florida

A VA loan allows qualified active-duty service members, veterans, and eligible surviving spouses to finance the purchase of a home without a down payment, mortgage insurance, and more lenient credit requirements. VA loans are zero-down mortgages provided by private lenders and partially guaranteed by the Veterans Affairs (VA) Department.

What is a VA Home Loan?

A VA home loan is a mortgage option backed by the U.S. Department of Veterans Affairs designed to help U.S. veterans, active-duty service members, and widowed military spouses buy, build, repair, or refinance a house. There are different types of VA home loan programs, including VA direct loans and VA-backed loans. VA direct loans are funded and provided by the Department of Veteran Affairs, while VA-backed loans are issued by private lenders such as banks or mortgage companies.

The VA offers a home loan guarantee and other housing-related programs to assist eligible servicemembers, veterans, and surviving spouses in becoming homeowners. To qualify for a VA home loan, you must be a veteran, active-duty service member, reserve or National Guard member, or a surviving spouse. Borrowers must still satisfy the required credit and income criteria for the desired loan amount.

A VA loan entitlement is the maximum loan amount the Veterans Administration will pay your lender if you default on your mortgage loan. This reduces the lender’s risk and enables them to offer favorable terms, such as no or low down payment requirements.

Benefits of a VA Home Loan

VA home loans offer several advantages compared to other loan programs. Some of the most notable benefits include:

• No down payment required:

One of the most significant benefits of VA loans is that qualified veterans can buy a home with no down payment, allowing them to purchase homes without saving for years for a lump-sum payment.

• No mortgage insurance required:

Unlike FHA loans, requiring an upfront fee and recurring mortgage insurance fees, VA loans do not require mortgage insurance, which could save borrowers thousands of dollars over the life of the loan.

• 100% financing:

Financing is available for up to 100% of the purchase price. Borrowers can finance up to 100% of their home’s purchase price with a VA loan, making it easier to buy a home without saving for a significant down payment.

Qualification Requirements of a VA Loan

To qualify for a VA home loan, borrowers must meet several eligibility requirements.

• Eligibility status:

Borrowers must be active-duty military personnel, veterans, or qualifying beneficiaries such as spouses. Active-duty service requirements vary based on the length of service. You must meet at least one of the following requirements:

• Minimum of 90 days of continuous active duty during wartime. 
• A minimum of 181 days of continuous active duty during peacetime.
• Six years of service in the National Guard or Reserves.
• Your servicemember spouse was killed in the line of duty.
• You are the surviving spouse of a service-connected disabled veteran.

• Certificate of Eligibility (COE):

To be qualified for a VA-guaranteed home loan, borrowers must get a valid COE. They can obtain a COE by completing a completed VA Form 26-1880, Request For A Certificate of Eligibility For Home Loan Benefits, accompanied by proof of military service.

• Credit, debt, and income:

Lenders will evaluate potential buyers’ credit, debt, and income to determine their eligibility for a VA loan and the interest rates they will offer.

• Primary residence:

The VA loan must be used to purchase a property for the borrower’s own personal occupancy.

• Minimum property requirements (MPRs):

The property must meet the MPRs of the VA, which assure that it is safe, structurally sound, and sanitary. These rules are in place to ensure that the property appeals to the majority of buyers and applies to residential dwellings (up to four units).

• Intention to occupy:

Borrowers must occupy, or intend to occupy, the home within a reasonable time after closing, often within 60 days.

Apply for a VA Home Loan in Florida

A VA loan benefits the families of active-duty service troops and veterans. Its financing parameters are more liberal and favorable in general than those of competing home loan programs.

Are you eligible for a VA loan? Apply for VA home loan today. Capital Home Mortgage is a direct lender and mortgage servicer. Please call us at (239) 310-5599.