Rick Ketterling is a Retired Veteran
Serving All Veterans!
VA HOME LOANS
VA FINANCING - An OUTSTANDING! DEAL FOR VETERANS
VA Loans require NO DOWN PAYMENT and allow you to qualify for a more expensive home.
The VA doesn’t actually make loans. Instead, it insures loans so that if buyers default for some reason, the lenders will get their money. This encourages lenders to give mortgages to people who might not otherwise qualify for a loan.
VA Loan Advantages
-
VA home loans do not require a down payment, unless the purchase price is more than the appraised value or in excess of current loan limits.
-
VA home loans have limitations on which closing costs may be assessed to the veteran.
Visit the Actual VA Website
Eligibility Requirements
| ERA |
DATES |
LENGTH OF SERVICE |
| World War II |
09/16/40 - 07/25/47 |
90 Days |
| Peacetime |
07/26/47 - 06/26/50 |
181 Continuous Days |
| Korean Conflict |
06/27/50 - 01/31/55 |
90 Days |
| Post Korean |
02/01/55 - 08/04/64 |
181 Continuous Days |
| Vietnam |
08/05/64 - 09/07/75 |
90 Days |
| Post Vietnam |
05/08/75 - 09/07/80 |
181 Continuous Days |
| Enlisted |
09/08/80 - 08/01/90 |
2 Years |
| Officers |
10/17/81 - 08/01/90 |
2 Years |
| Persian Gulf |
08/02/90 - (Undetermined) |
2 Year period called to active duty, not less than 90 days served. | |
Income Guidelines for VA Home Loans
VA requires a borrower to have sufficient and adequate income to cover the repayment of the mortgage. Before a borrower can be approved for a VA home loan, the stability of income and the continuance of the borrower's income must be established through acceptable sources of income, the borrower's past employment record, and the employer's confirmation of continued employment must be established.
Stability of a person's income is generally derived from their employment history. VA requires verification for the previous two full years and must be documented through lender verifications of previous employment or W-2's. This income must be analyzed to determine whether it can be expected to continue through the first 3 years of the mortgage loan (if the borrower intends to retire during this period, the expected retirement income, social security benefits, etc. should be used). Any gaps in employment must be reasonably explained by the borrower. Schooling or education for the borrower's profession (e.g. nursing school) can be counted towards the 2 year requirement. Allowances for seasonal employment, such as is typical in the building trades for example, may be used.
VA FUNDING FEE
In order for VA to guarantee the home loan, there is a closing cost assessed by the VA to originate the loan called a funding fee. This fee will vary, depending upon the type of VA loan, whether this is your first time to use your entitlement, if you are a disabled veteran, the down payment and if you served active duty or in the National Guard/Reserves.
The following table breaks down the funding fee charged by VA:
| First time use, purchase of an eligible property: |
| Down Payment |
Active Duty |
Reserves/NG |
| 0% to 4.99% |
2.20% |
2.40% |
| 5% to 9.99% |
1.50% |
1.75% |
| 10% + |
1.25% |
1.50% |
|
| Second time use, purchase of an eligible property: |
| Down Payment |
Active Duty |
Reserves/NG |
| 0% to 4.99% |
3.30% |
3.30% |
| 5% to 9.99% |
1.50% |
1.75% |
| 10% + |
1.25% |
1.50% |
The materials contained within this page may not be reproduced without the express written consent of 
