If you’re a Veteran looking to purchase a home using your VA Loan benefit, one of the first steps is to get pre-approved for a loan.
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What is a VA Loan?
A VA loan is a mortgage loan that is guaranteed by the U.S. Department of Veterans Affairs (VA). The loan is available to Veterans, Active Duty Service members, National Guard members, and reservists who have served in the U.S. military. The VA loan program was created to help Veterans and service members purchase homes with favorable loan terms and at a competitive interest rate.
To be eligible for a VA loan, you must have served in the military for at least 90 days during wartime or 180 days during peacetime. You must also have been discharged from service under honorable conditions. If you are the spouse of a service member who has died in the line of duty, you may also be eligible for a VA loan.
If you are eligible for a VA loan, you will need to obtain a Certificate of Eligibility (COE) from the VA before you can apply for a loan. Once you have your COE, you can work with any lender that offers VA loans to get pre-approved for your loan.
When getting pre-approved for a VA loan, it is important to understand that there is no such thing as “full approval.” A lender can only provide pre-approval based on the information that you provide at the time of application. When applying for pre-approval, be sure to provide accurate information about your income, debts, and assets so that the lender can give you an accurate estimate of how much they would be willing to lend you.
It is also important to know that pre-approval does not guarantee that you will ultimately be approved for the loan. Lenders will still need to verify your income and employment before extending final approval for the loan. However, pre-approval gives you a good idea of how much home you can afford and can help streamline the homebuying process once you find a property that meets your needs.
Who is eligible for a VA Loan?
The VA loan program is open to all qualified veterans, reservists, and active duty personnel. In order to be eligible, you must have completed a minimum of ninety days of active service during wartime, or a minimum of 181 days of active service during peacetime. You must also have received a honorable discharge from your service. If you are currently on active duty, you must have completed at least ninety days of service.
How to get pre-approved for a VA Loan
If you’re a veteran or active duty service member, then you may be eligible for a VA loan. VA loans are a type of mortgage loan backed by the U.S. Department of Veterans Affairs. They’re available to eligible service members, veterans, and their spouses. Getting pre-approved for a VA loan is a good first step to get financing for your home purchase.
Get your credit score
The first step in getting pre-approved for a VA loan is to get your credit score. This number is a reflection of your creditworthiness and it will give lenders an idea of your ability to repay a loan. There are a few different ways to get your credit score, but the most common is to request a free copy of your credit report from one of the three major credit reporting agencies—Experian, TransUnion, or Equifax. You can also use a credit monitoring service like Credit Karma or Credit Sesame to keep track of your score.
Once you have your credit score, it’s time to start shopping for lenders. The best place to start is with banks or credit unions that offer loans specifically for veterans. These lenders are familiar with the VA loan process and they may offer more favorable terms than other types of lenders.
When you’re ready to apply for a loan, you’ll need to provide some documentation to the lender. This will include things like proof of income, bank statements, and asset information. The lender will use this information to determine if you pre-qualify for a loan and how much they are willing to lend you.
Get a Certificate of Eligibility (COE)
The first step in getting pre-approved for a VA loan is to get a Certificate of Eligibility (COE).
The COE verifies to the lender that you are eligible for a VA-backed loan. To get a COE, you can:
-Ask your lender
-Visit Veterans United Lighthouse to get your certificate electronically
-Work with Veterans United Home Loans in collaboration with Veterans Affairs (VA) to obtain your certificate
Find a lender
Getting pre-approved for a VA loan is simple and quick. All you have to do is find a lender that specializes in VA loans and get in touch with them.
If you don’t know of any lenders that specialize in VA loans, you can check out the VA’s list of approved lenders. This list includes both banks and mortgage companies that are approved to provide VA loans.
Once you’ve found a lender, you’ll need to provide them with some important information so they can pre-approve you for a loan. You’ll need to provide proof of your military service, proof of your income, and your credit score.
You can get pre-approved for a VA loan in as little as 15 minutes, so there’s no need to delay if you want to buy a home with a VA loan.