VA Financing

VA home loan program was created to help veterans finance their purchase of homes.  Veterans include certain members of the Selected Reserve, active duty service personnel and certain categories of spouses.  It is a mortgage loan program established by the Department of Veterans Affairs of United States.  It ensures all veterans are given an equal opportunity to buy homes without regard to their race, color, sex, family status or national origin.  With no down payment, unless required by the lender, a great fixed interest rate, competitive with conventional mortgage interest rates, and limited closing costs, VA financing is a great option. It has long amortization terms and the borrowers have right to repay without penalty.
In order to qualify for the loan program, the law requires that the veteran is eligible for home loan and must be for an eligible purpose.  The veteran must occupy the property as their home within a reasonable period of time after closing the loan.  He must have enough income to meet the mortgage payment of the loan and to cover the costs of owning a home.   
The veteran may use VA-guaranteed financing to buy a home.  To buy a townhouse or condominium unit in a project that has approved by VA.  VA loans may also be used to refinance an existing loan and to reduce the interest rate of the existing loan. VA has a streamline program, it’s called, IRRRL. To repair, altered or improve a home and to improve a home through installment of a solar heating and cooling system or other energy efficient improvements. 
The VA-guaranteed loans are obtained by making application to private lending institution.  The local VA regional office will provide a list of lenders who are active in the program.  To reduce delays in the processing of the loan, the borrower should be prepared to give the lender the complete names and addresses and his employee identification numbers for present and past employers covering a 2 year period. The borrower should also make available the location and account numbers for savings and checking accounts and all open and recently closed debts and obligations.

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