VA Loan qualification

When considering a va home loan many veterans ask “Do I qualify for a va loan”. The short answer is if you served time in the military you are eligible for a va loan under the VA program, but that does not guarantee the lender will loan the money. There are three main factors that determines if an applicant qualifies for a va loan.

1.       VA Eligibility – The member must be eligible for va benefits. Most anyone that served on active duty, guard or reserve honorably will most likely be eligible for the va program. But this only means the Department OF Veteran Affairs will issue the va certificate. This does not guarantee you qualify for the loan.

2.       Debt to Income Ratio – The VA allows veteran with as much as 41% debt to qualify. This means the lender offering the money is allowed to fund the loan even if you have  41% of your income going to debts.

3.       Credit History – Veterans with poor credit can still get a loan but its difficult. The two largest factors affecting your credit worthiness, according to the VA is if filed for bankruptcy in the last three years and if you have any 30 day late payments reflecting on your credit report. If you have a history of paying your bills on time, but have poor credit because of other reasons, you may still qualify.

If you want to check your VA qualification, please try our VA Loan Qualification worksheet. You can download this form and get an idea if you may qualify even before you speak to a loan officer.

Tags: VA Loans

This entry was posted on Tuesday, January 6th, 2009 at 1:52 pm and is filed under Main. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.