What is a VA Loan?
After the end of World War II, President Roosevelt felt the need to provide returning service men and women with assistance in transitioning between “war life” and “home life.” In 1944, The Department of Veterans Affairs was created to help provide stability and assurance to veterans. The VA Loan program provided returning servicemen and women the opportunity to buy a home.
What is a VA Loan?
After the end of World War II, President Roosevelt felt the need to provide returning service men and women with assistance in transitioning between “war life” and “home life.” In 1944, The Department of Veterans Affairs was created to help provide stability and assurance to veterans. The VA Loan program provided returning servicemen and women the opportunity to buy a home.
A VA Loan is a mortgage issued by approved lenders and guaranteed by the federal government. It allows eligible military service members and veterans to either refinance up to 100% of their home or purchase a new home with zero down. But what makes one eligible for a VA Loan?
The following are eligible to take part in the VA Loan program:
- Veterans
- Active duty personnel
- Reservists/National Guard members
- Some surviving spouses
- Active Duty / Veterans with more than 90 consecutive days of service during war time (181 days during peace time)
- National Guard or the Reserves may qualify if they have served more than six years.
- Spouses of service members who died in the line of duty or who died from a service-related disability may also be eligible.
- The veteran’s signature on both the purchase agreement and the VA Loan application
- The POA signed by the veteran specifically calls out the entitlement, purpose, property identification, price and terms, and occupancy.