VA loans are one of the greatest benefits that our country provides to its veterans, but there are still misconceptions surrounding the topic. Fear not! In this blog, we dispel four common myths surrounding VA loans.
If You Qualify for a VA Loan, it is Automatically Your Best Option
Several perks make VA loans the best choice for veterans across the country. However, that doesn’t necessarily mean that it’s guaranteed to be the best option for your specific needs. If you aren’t able to put forth a down payment, there is a chance that the loan funding fee will be out of your means. Even still, it will be worth your time investigating both VA loans and other options such as FHA loans to ensure that you are getting the best deal possible.
You can Only Use a VA Loan Once
You don’t have just one chance to use your VA loan; you can use as many as you want! To start a second VA loan, you can either pay off your current loan or rent out the initial property to another party.
VA Loans Have Lofty Credit Score Requirements
Potential buyers are often scared off by the assumed lofty credit requirements to purchase a home. For reference, a perfect credit score is considered to be 850, and the minimum is 300. 660 is a standard cutoff for VA loans, which is quite lenient compared with conventional loan requirements.
Any Home Loan Requires a Hefty Down Payment
It’s impossible to buy a home without a hefty down payment, right? Wrong! VA loans are one of the only home loan types that do not require any up-front payment toward the home. Of course, putting forth a down payment of any size will make life more comfortable in the long term, but it is not a requirement.
Golden Lenders Can Help You Secure the Best Mortgage for Your Needs
Golden Lenders helps home buyers in Colorado, Florida and California understand the different types of mortgages available and provide loans to help people achieve the dream of homeownership. Since the specifics of which mortgage to choose is dependent on a variety of factors, we encourage you to call us for more information and find out which is right for you. Our number is (303) 482-2361, or you can send us a message.