Procuring home loans for veterans Are you considering asking for a loan to build your house? There are different types of loans available for different purposes and they are available at different rates of interest and with different repayment facilities. There are procedures to be followed to avail a loan and these differ from company to company. Conventional loans Building a house or buying a house is a big time investment but you can always avail the housing loan facility. There are many finance companies that offer loans for housing. These loans have the option of repaying it over a long period of time. Most of the finance companies ask for collaterals as a security for securing the loans. Further, there are procedures to secure loans and you need to get an eligibility certificate for acquiring the loan. It is to certify that you are capable and in a position to repay the loan. It may be stating that you are employed in a particular firm or company and drawing a particular amount of salary, by which you will be able to repay the loan. While buying a house, most finance firms expect you to make a down payment for the house and the remaining amount will be sanctioned by loan. Loans for military personnel A VA housing loan is a mortgage loan which is issued by qualified lenders as it is guaranteed by the U.S Department of Veterans Affairs. Qualified veterans can procure this loan without making a down payment or having to pay private mortgage insurance. They also need not have to pay prepayment penalties. All you need is to get a Certificate of eligibility. VA housing loan is for people who have actively served in the military. It is to enable them to buy property. Reducing the interest rate VA IRRRL is Interest Rate Reduction refinancing loan. VA IRRRL can be done when a veteran has already used his entitlement for a VA loan on the property to be refinanced. The existing VA home loan can be refinanced and thereby the rate of interest can be lowered, which in turn will decrease your monthly mortgage payment. It is usually a VA to VA refinance. There are procedures and process that have to be followed while acquiring a loan. VA loan requirements are: your full name and address and social security code, Certificate of Eligibility and DD214 form. They also require the details of your current gross monthly salary. VA loans are a boon for the veterans. It helps them to procure loans without much hassle and enables them to buy property. They need not go to private firms for loans. They have refinancing options, where their interest rates are lowered and their monthly mortgage payment decreased. They also have easy repayment options.
Published on Sep 27, 2013
Published on Sep 27, 2013
Are you considering asking for a loan to build your house? There are different types of loans available for different purposes and they are...