VA home loan Certificate of Eligibility

VA home loan Certificate of Eligibility

 va home loan :

What Is a VA Loan?

A VA loan is a mortgage loan available through a program established by the U.S. Department of Veterans Affairs (VA) (previously the Veterans Administration). With VA loans, veterans, service members, and their surviving spouses can purchase homes with little to no down payment and no private mortgage insurance and generally get a competitive interest rate.

The Basic Process

A VA mortgage is a specialized home loan product, but the process for buying a home with one is similar to any other mortgage type. You'll work with a qualified lender to get preapproved, shop for a home, make an offer, go through the underwriting and appraisal process and finally, loan closing.

Beyond the benefits like $0 down payment and no mortgage insurance, the largest difference with VA loans is that the lender will need to verify your eligibility for a VA loan - an item typically done by the lender in-house.

Who created the VA Loan program?

The VA home loan was created in 1944 by the United States government to help returning service members purchase homes without needing a down payment or excellent credit. This historic program has guaranteed more than 25 million VA loans, helping Veterans, active duty military members and their families purchase or refinance a home.

What is the VA guaranty?

Although the VA loan is a federal program, the government generally does not make direct loans to Veterans. Instead, private lenders including Veterans United Home Loans finance the loan while the Department of Veterans Affairs offers a guaranty.

This guaranty protects the lender against total loss should the buyer default, which provides an incentive for private lenders to offer the VA loan with better terms than other mortgage options.

How to request a VA home loan Certificate of Eligibility (COE)

Learn how to request a VA home loan Certificate of Eligibility (COE). This is the first step in getting a VA-backed home loan or Native American Direct Loan. It confirms for your lender that you qualify for the VA home loan benefit. Then, choose your loan type and learn about the rest of the loan application process.

Eligibility requirements for VA home loan programs

Learn about VA home loan eligibility requirements for a VA direct or VA-backed loan. Find out how to request a Certificate of Eligibility (COE) to show your lender that you qualify based on your service history and duty status. Keep in mind that for a VA-backed home loan, you’ll also need to meet your lender’s credit and income loan requirements to receive financing.