In recent years, Fresno has seen a rise in the demand for housing. Strategically located between the metropolitan cities of San Francisco and Los Angeles, Fresno provides a more affordable housing option for both singles and families. Military members are no exception, whether they’re active or retired.
If you’re a military member attempting to buy a home, chances are you’ve heard about the Fresno VA loans. Guaranteed by the US’ Veteran Affairs department, this loan is issued by private mortgage lenders and banks. The objective? To help active and veteran members of the military acquire the home of their dreams. Unlike any other mortgage programs, the VA loan comes with less strict requirements while still providing home buyers with funding assistance.
One company to help with this program is VA Loan Veteran. The company runs by Al Gonzalez, assisting military and veteran to qualify and get access to the VA loan. Al Gonzalez has been a local lender for roughly 22 years and actually himself was a veteran, so its a big attributes for him in this lending business.
Al Gonzalez started 5 years ago when he reached out and worked with broker & agents in town, creating the narrative that VA Loan is actually a great loan especially for veterans. Curious about the loan program? Lucky for you because Linda Peltz held a talkshow with Al Gonzalez discovering basic things about VA Loan.
Tune in to video below to learn more about VA Loan from Linda Peltz and Al Gonzalez:
VA Loan Qualifications Needed
Similar to other mortgage programs out there, you’ll need to meet several VA loan requirements in order to qualify:
- You’ve served for 90 days back-to-back in the war, OR
- You’ve served for 181 days in the military in times of peace, OR
- You’ve spent 6 years posted in the Coast guard or Reserves, OR
- You’re the spouse of a late military member who died on deployment or due to a disability caused by serving in the military.
The Necessary Paperwork
Linda Peltz stated that the common problems with the program is the lack of understanding of how military system and programs work. She mentioned that this VA loan veteran can take a role to deliver and help them run the paperwork.
In short, lots of veterans think they don’t qualify for this VA loan, so its best to actually talk to lender or an agent. Make sure to ask and get them the DD214 or the COE paperwork from the national guard or reserves.
Home lender Fresno will need the following documents to process your VA loan application:
- Certificate of Eligibility (COE) bearing details of your entitlement
VA Loan Benefits
Buyers who successfully secure the Fresno VA loans are treated to zero down payment and assistance to cover the closing costs. You might be asking – who bears the closing costs then? In this case, they’re taken up by the home sellers. Closing costs are about 3% of the loan amount and includes taxes and escrow. In addition to closing costs, VA loans can also provide for inspection and appraisal costs.
If you’re wondering whether there’s any limits to how many times you can use the VA loan – there’s none. The limit is partially determined by how much entitlement you possess. Once you’ve used up all your entitlements, you no longer qualify for the zero down payment. However, the other benefits for buying a home remain.
VA Loan Restrictions
Apart from the abovementioned VA loan requirements, there are restrictions that apply. You’ll have to occupy the home you bought on a VA loan. In other words, the VA loan is not applicable for buying a home intended for lease. If you want to start a home rental business, you’ll have to opt for a different mortgage program for your second home.
Other Things About VA Loan
If you’re wondering how much the minimum credit score required is, home lender Fresno can assure you that there’s none. Your credit score will primarily determine the interest rate of your loan. The better the score, the better the interest rate will be. Therefore, you might want to work on improving your credit score before going ahead for a VA loan application.
Lenders also refer to your Debt-to-Income ratio (DTI) in deciding if you’re worthy of a loan. They may grant you Fresno VA loans despite your DTI being higher than 50%, as long as the evidence on compensating factors exists. Another factor taken into consideration is your Residual Income (RI). Any income you earn monthly gets deducted by house payments and any debt you owe. If your RI can’t fulfill the minimum, it means you can’t meet one of the VA loan requirements. In other words, you won’t be approved for the loan.
The Bottom Line
Thanks to the variety of home loan programs available nowadays, owning a home can be more than just a dream. Al Gonzalez’s VA Loan Veteran can guarantee you ways to figure out how you can qualify for the programs, so don’t worry if anything has happened to you during the military services.
Linda Peltz and Al Gonzalez are here to help you, a valuable member of the military. They could just be the answer you need, so get in touch with a home lender Fresno from VA Loan Veteran today!
Lender Al Gonzalez
Linda Peltz, eXp Realty