Tips & Special Topics
VA Loans for Men and Women of the Military
Added July 15, 2010
Whether male or female, U.S. military veterans who qualify can receive a VA loan with great advantages over conventional loans. A civilian veteran is someone 18 or older who served in any of the U.S. military branches but is not currently on active duty. According to the Census, the U.S. military veteran population was on the decline in the decades leading up to 2000. In fact, per the Census 2000, there were 28,514,000 total civilian veterans in 1980, 27,481,000 in 1990 and 26,403,000 in 2000.
Although the total number of civilian veterans has declined, the female civilian veteran population has increased steadily. There were 1,108 women counted in the U.S. Census 1980 total civilian veteran population. There were 1,151 women in Census 1990 and 1,593 in Census 2000. Numbers for Census 2010 to be published in 2011 may very well reveal a continuation of the trend.
Nearly 15.7 percent of veterans who served from August 1990 or later were women. The numbers reflect the rising involvement of women in the military. Still, there are many more men serving in the military than women. For both men and women, the VA offers the same great VA home loan benefits.
To be eligible for VA home loans, a military member must meet the criteria set by the Department of Veterans Affairs. Generally, it’s necessary to have served at least 90 days during wartime or between 181 days and 24 months during peacetime to be eligible for a VA loan. Certain other eligibility requirements can apply, and a VA loan professional can help you know if the terms of your service make you eligible for the VA mortgage programs.
VA borrowers are eligible for a VA loan up to $417,000 (more in some high-cost areas). Each veteran must qualify for the home loan by meeting the required VA and lender credit and income standards. VA qualifying standards can be less stringent than those of other loan programs. Though guaranteed by the federal government, VA loans are originated and funded by VA-approved lenders, so lender qualifying standards may vary.
VA mortgages have some distinct features that make them hard to beat compared to other loan programs. VA loan advantages include:
• Zero down payment required
• 100% maximum loan-to-value ratio on purchases and refinances
• No private mortgage insurance required
• No pre-payment penalties
• Relaxed qualifying standards
• Competitive interest rates
• Cash-out and debt consolidation refinance options
• Streamline rate reduction of existing VA loans
• Qualified loan assumption
For more information about VA home loan eligibility for veterans and active-duty members of the military, contact a VA mortgage professional.
