The Veteran Thread

[theoddz]

Originally Posted by Little Fish

Hey Vets--

Has anyone here used the VA Home Loan program?

I'm wanting to buy a house but this program doesn't seem to be used widely in my area...or so I've been told. (and I'm suspect of this agent so...)

Did it work for you?
Which Lender did you use?
Which lender would you stay away from?
Lessons learned?

Also, do you use USAA insurance for anything?

All comments welcome, thanks!

(I still have a case of MREs--the shelf life is scary.)

Hey there LF, yes I have used my VA home loan benefit. It's pretty simple, but let me clear up some misconceptions about what it is.

Any lender or builder should be able to work a VA home loan for you, though some realtors might not want to, because the VA home loan program doesn't allow lenders to tack on a lot of "junk" fees. They are heavily regulated and the loans require that the potential property be inspected and appraised by VA appraiser. It has to meet VA standards, and let me tell you.....those protect you, the Veteran!! That, sometimes, can take a bit of time, depending on the market and how busy the appraisers are. If you are a service-connected Disabled Veteran (at least 10% compensable), you cannot be charged a "funding fee" on your loan, either. Also, with a VA loan, you don't have to have a down payment. Of course, any money you might have to put down will be figured in your financing and will result in a lower monthly mortgage payment. That's with any loan, of course, and is always a good thing, if you can do it.

Okay, now....about the VA loan. A VA loan is a loan that is simply backed by the VA. The VA is the guarantor. This means that the VA acts similar to how a co-signer acts for a loan. They simply stand behind it, in case you default. It's a great program and there's lots of great information on the web about it, if you just google it. Here's a few links for you.

http://www.military.com/money/va-loa...ome-loans.html

http://en.wikipedia.org/wiki/VA_loan

http://benefits.va.gov/homeloans/

Hope that's enough to get you started.

I would strongly encourage you to not opt for any other type of loan than the fixed rate loan. Don't go for that adjustable rate bullshit. That's gotten a lot of folks into big trouble.

Oh, and I have never used USAA. I have Navy Federal Credit Union and have had it for many years. I absolutely adore them!!!

Good luck!!!

Semper Fi,
~Theo~