27 Feb Financing Options Available When Buying a Home
Current military service members, veterans, and some military spouses have several options when it comes to financing the purchase of a home. There are many possibilities to choose from, and each program has its benefits. Veterans Anonymous always recommends the VA home loan program, if the borrower qualifies, due to the benefit of having the federal government as the loan’s guarantor. Here’s a handful of programs that service members and veterans can choose from.
Exploring FHA Loans
FHA stands for Federal Housing Administration. This is a program provided to more than just current and former members of the military. Along with service members, senior citizens, borrowers buying a home for the first time, people purchasing a home that is considered a “fixer upper” with the intent to remodel, and people buying a home to apply improvements to make the house energy efficient, all may qualify for an FHA loan. Our network of loan specialists can assist anyone in pursuing an FHA loan, if interested.
Benefits of a USDA Loan
A USDA loan is another loan not specific to members of the armed forces. This loan is provided by the US Department of Agriculture. Along with military members, qualified applicants may include anyone with low income who intends to buy a home in a predetermined rural area zone. Borrowers may also use this loan to purchase land. If you are interested in applying for a USDA loan, ask one the many loan specialist in our network to see if you qualify.
What about Conventional Loans?
Conventional home mortgage loans could be a good option for military members who do not qualify for a VA home loan. Our network of qualified loan specialists can assist you with finding a quality loan with a reasonable interest rate. However, this should be somewhat of a last case scenario as military members have several options for more affordable home ownership.
Securing a VA Home Loan
The VA home loan is only available to members and former members of the military, as well as some military spouses. This program has been in place since 1944, offering veterans a pathway to owning a home. This option is available to any member who meets a handful of basic requirements and includes no down payment and reasonable interest rates. Visit our basic requirements page to see if you qualify. If so, this is almost always the best option.