The Veterans Administration offers special home loan deals to members of the armed services, veterans and their families. As part of the VA’s mission to serve the military, we provide a home loan guaranty benefit and other housing-related programs to help service members, veterans and their families buy, build, repair, retain, or adapt a home for their own personal occupancy. VA Home Loans are provided by private lenders, such as banks and mortgage companies. VA guarantees a portion of the loan, enabling the lender to provide servicepeople with more favorable terms.
Options Under the VA Loan Programs
The VA has several loan programs; there is a specific direct loan program for Native American veterans, servicepeople and their families. There is also a specific loan program for veterans who seek a primary residence purchase in what is considered a rural area. The Specially Adapted Housing (SAH) program offers grants to certain service members and veterans with severe service-connected disabilities to assist them in building, remodeling, or purchasing an adapted home. Veterans and service members with specific service-connected disabilities may be entitled to this type of grant, up to the current maximum of $ 15,462.
Your Average VA Home Loan
There are many benefits to getting a VA loan rather than any other conventional loan, and probably better than a FHA loan. Banks and mortgage lenders are retailers who charge the client for the for the privilege of their expertise and service in setting up, evaluating and processing the loan application. There is some hint about the “cost” of the loan from the percentage difference between the interest rate and the APR – since the APR is legally required and must be provided to account for the lending institution’s charges, although not all charges are required to be included. Finding out what those costs are is very relevant to your eventual financial obligation and more importantly how much upfront money it costs to get the loan.