The men and women who have served or are serving in the United States Military are a special group of people. They are those that have chosen to serve our country and a purpose that is larger than themselves. For their service, they are afforded special considerations as a way of thanking them for their service. It can be a long hard road for them, and they deserve these special considerations. One of those considerations is access to El Paso VA loans.
What is a VA Loan And Who Qualifies For A VA Loan in El Paso?
A VA loan in El Paso, or anywhere for that matter, is a loan that is backed by the Department of Veteran’s Affairs and they were enacted as part of the GI Bill. These loans are offered to retired veterans, active military, honorably discharged, and widowed spouses of military members killed in action. Active military members have to have 90 days of active service during wartime or 181 days during peacetime. Veterans include those who served 6 or more years in the National Guard or Selected Reserve.
Features Of A VA Loan El Paso
There are a lot of great benefits that military members, veterans, and widowed spouses have to tap into.
- There is no limit on the amount that can be borrowed. Borrowers do need to be aware that there is a limit to the amount of liability that the VA will take on when it comes to VA loans in El Paso. They will only cover 25% or up to $113,275.
- The borrower will not have to pay for private mortgage insurance.
- There is no down payment necessary. VA loans are one of the last zero down loan options left. This can be a double-edged sword because it can really increase the amount of your monthly payment.
- VA loans can only be used for the purchase or building of a primary residence or for the refinancing of an existing loan.
- There is no penalty for the borrower if they are to pay off the loan early.
- The VA also offers assistance to borrowers who are having trouble making their mortgage payments or those who are facing foreclosure.
- One of the best features is that there is no minimum credit score requirement. While others scramble to have the best credit score possible, VA Loan borrowers don’t have to worry about it.
Though there are some really amazing features that are offered to VA loan borrowers, you also have to make sure that you are fully aware of all aspects. Some of the amazing features can also make these loans more expensive in the long run than conventional loans. This is why the borrow has to make sure to look into all of their options and explore all avenues. This may be an amazing option for many, but there may also be other options that may prove more beneficial in the long run for others. It is important to look into everything before signing your name on the dotted line.