Most veterans know about VA loan benefits. But what many don’t realize is that some of the things they’ve heard about the program aren’t quite accurate, while other benefits often go overlooked entirely.
If you’ve thought about buying your first home, a new home, or simply want to better understand a benefit you’ve earned through your service, here are a few things worth knowing.
You Don’t Have to Use Your Benefit Right Away
Some veterans assume that if they didn’t buy a home shortly after leaving the military, they missed their opportunity to use a VA loan.
However, VA home loan benefits do not expire, and many eligible veterans don’t purchase a home until years later. Career changes, family considerations, relocations, and financial goals all play a role in determining when homeownership makes sense.
You Can Use Your VA Loan Benefits More Than Once
One of the most common misconceptions about VA loans is that they’re a one-time benefit.
Depending on your entitlement and individual circumstances, you can use a VA loan again after selling a home or, in some cases, while still owning a property financed with a previous VA loan.
Because every situation is different, it’s important to talk with a knowledgeable lender about your specific eligibility.
Previous Homeownership Doesn’t Automatically Disqualify You
Many people associate VA loans with first-time homebuyers.
While the program can be a great option for first-time buyers, previous homeownership doesn’t prevent someone from using a VA loan. Some veterans are surprised to learn they may still have options even if they’ve owned one or more homes in the past.
VA Loans Do Not Require Monthly Mortgage Insurance
VA loans do not have traditional mortgage insurance like FHA and conventional loans do. Instead, there is an upfront VA funding fee that can be financed into your loan. The amount of the funding fee depends on your VA eligibility, down payment, and whether you’re using your benefits for the first time or subsequent use. Some eligible borrowers may be exempt from the VA funding fee.
There May Still Be Costs to Consider
Another common misunderstanding is that a VA loan means there are no upfront costs.
While many eligible borrowers can purchase a home without a down payment, other costs may still apply. Closing costs, prepaid expenses, and the VA funding fee are all important considerations.
VA Eligibility Extends Beyond Active-Duty Service Members
The VA benefit may apply to active-duty military, qualifying veterans, members of the National Guard or Reserves, and certain surviving spouses.
Eligibility requirements vary, which is why reviewing your specific situation is an important first step.
Understanding Your VA Loan Benefits Starts with a Conversation
The VA loan program remains one of the most valuable homeownership benefits available to eligible military borrowers, yet many veterans never fully explore what may be available to them.
Ready to see what your VA benefits can do for you? Contact a Granite Bank loan officer today to get started.
VA loan eligibility and program requirements apply. Not all applicants will qualify. Contact a mortgage loan officer for details about your individual situation.
