VA Home Loan Guide for First-Time Buyers
As a first-time homebuyer, understand if you may qualify for a VA-guaranteed loan
Being a first-time home buyer is a very exciting and rewarding time in your life, but it can also be a challenging and complicated one. You may be asking yourself, “What type of home loan should I get?”
If you do qualify for a VA-guaranteed loan, it is an option you may seriously want to consider.
As a First-Time Buyer, do I Qualify for a VA Guaranteed Loan?
If you served before 1990 and meet at least one of the following eligibility requirements, you may qualify for a VA loan:
- You have served a minimum of 90 consecutive days during war time
- You have served a minimum of 181 days during peacetime
- You have served a minimum of 6 years in the Reserves or National Guard, AND
- Were discharged honorably, OR
- Were placed on the retired list, OR
- Were transferred to the Standby Reserve or an element of the Ready Reserve other than the Select Reserve after honorable service, OR
- Continue to serve in the Selected Reserve
- You are an un-remarried spouse of a Veteran who died while in service or from a service-connected disability
- You are a spouse of a Servicemember missing in action or a prisoner of war
If you served after 1990, you may qualify for a VA loan if you meet one of the following:
- You have served 24 months of continuous active-duty - with other than dishonorable discharge
- You have served at least 90 days or completed the full term that you were ordered to active duty with other than dishonorable discharge
- You have served at least 90 days active duty – and discharged for hardship, early out, convenience of the Government, reduction in force, condition interfered with duty or compensable service-connected disability
- You have served less than 90 days active duty - if discharged for a service-connected disability
- Have a minimum of six years of service in the Selected Reserve or National Guard, AND
- Were discharged honorably, OR
- Were placed on the retired list, OR
- Were transferred to the Standby Reserve or an element of the Ready Reserve other than the Selected Reserve after honorable service, OR
- Continue to serve in the Selected Reserve
If you do meet one of the qualifying conditions listed above, you will need to present a Certificate of Eligibility (COE) to the lender. This verifies that you are eligible for a VA-guaranteed loan.
The U.S. Department of Veterans Affairs offers a list of COE evidence you may need depending on the nature of your eligibility.
What Benefits can I Enjoy with a VA Loan?
As a first-time home buyer, you may not be aware of the many benefits that a VA loan could provide. The advantages offered by VA loans over conventional loans, for example, are numerous.
VA loans have such beneficial features as:
- Zero down payment requirements
- Zero private mortgage insurance (PMI) requirements
- Competitive interest rates
- Reusable and lifelong benefits
- Limitations on closing costs
- An assumable or transferable loan
- No prepayment penalty
Apply for a NewDay Zero Down VA Home Loan Today
If you are eligible for a VA-guaranteed loan and want to enjoy the benefits listed above, apply for a NewDay $0 Down VA Home Loan today.
NewDay USA wants to help you on your exciting journey of becoming a homeowner and a dedicated loan officer can guide you through the entire process start to finish.
Give us a call today at 800-405-4187 if you have any questions.