Veteran’s Administration Home Loans Provide Quite The Advantage To Those Who Qualify For The Service
By Justin Koh
What exactly is a Veteran’s Administration loan, and who is eligible to receive these borrowed funds?
A VA loan is one that gives veterans of war the opportunity to take out a guaranteed loan that does not require a down payment from the individual before the funds can be borrowed.
This kind of loan was designed to assist military personnel and their families with the purchase of a home, and has helped millions of members of the United States Armed Forces to do just that since it was signed into law in 1944 by then President Franklin D. Roosevelt.
Armed forces veterans who were on active duty and then discharged honorably are eligible to get a VA loan. But first, potential candidates of the veteran loan must have been active in their branch of the military for either a minimum of 90 days during a time of war, or for 181 continuous days in a time of peace before they can be accepted into the VA loan program.
It is also important to keep in mind that veterans who want to apply for the VA loan must actually qualify for the borrowed funds, as simply having the status as a veteran does not automatically give that person eligibility for the service.
Private lenders such as banks, savings and loans institutions, and various mortgage companies provide the loan amounts to qualified veterans. The funds must be used for the purchase of a home, and said home must be occupied by the new homeowner.