Home loans for veterans | Osprey Mortgage Lending www.ospreymortgagelending.com
What is a veteran? A veteran is someone who has served in the Australian Defence Force (ADF), often serving the country overseas. The government usually pays an allowance to assist with the well-being of service members who are no longer actively serving in the military. Such payments are made periodically and can be shown as part of your income when you’re applying for a home loan.
What you need to know about home loans for veterans • According to the Department of Veterans Affairs (DVA), eligible veterans, ADF personnel and their dependents may be able to access three types of DVA home loan subsidy schemes, depending on their qualifying period of service. • Defence Home Ownership Assistance Scheme (DHOAS): Available to current and former ADF members who served on or after 1 July 2008, completed a qualifying period of service and accrued sufficient entitlement and have served in the ADF within the last five years. • Defence Service Homes Scheme (DHS): Available to former ADF members who completed a qualifying period of service before 15 May 1985 or served in Namibia between 18 February 1989 and 10 April 1990. • Defence Home Ownership Scheme (DHOS): available to former ADF members who enlisted on or after 15 May 1985, and separated from the ADF before 1 July 2008.
Who is eligible for a veterans home loan? You may be eligible for a VA loan by meeting one or more of the following requirements: You served 90 consecutive days of active service during wartime. You served 181 days of active service during peacetime. You have 6 years of service in the National Guard or Reserves. For veterans applying for other home loans, banks may accept the following types of veteran’s pension as income for home loan application purposes: • Service pension • War widow’s or widower’s pension • Veteran’s affairs age pension • Other permanent and ongoing pension income on a case-to-case basis
What documents do veteran pensioners need to apply for a home loan? • Proof of genuine savings amounting to at least 5 per cent of the property value to cover the minimum deposit • Bank statements showing your pension payments or a current Department of Veterans’ Affairs statement • When applying for a home loan on a disability pension, you’ll need a letter from Centrelink confirming the nature and status of your disability pension.
Information source: www.ospreymortgagelending.com