VA home loans in Denver can provide a wide range of benefits to veterans along with accessibility. Our veterans deserve to be honored and celebrated, which is why our society offers various benefits to recognize their service. Perhaps one of the biggest benefits that veterans and service members can take advantage of is VA loans. If you’re considering purchasing property with a VA home loan in Denver, you likely have a few questions. We’ve got answers to some of our most common queries.
Am I eligible for VA home loans in Denver?
VA home loans are incredible tools for veterans, service members, and their surviving family members to purchase or improve a home. However, there are still certain requirements you must meet before you can take advantage of a VA loan. To get VA home loans in Denver, you have to obtain a Certificate of Eligibility (or COE).
To get a COE, you first have to ensure you meet the minimum active-duty service requirement. If you’re a current service member, you have to have served for at least 90 consecutive days without a break. If you’re a veteran, National Guard member, or Reserve member, your active-duty service requirement can vary based on when you served. The VA provides a list of requirements for each case.
You might also be able to get a COE even if you don’t meet the minimum service requirement. If you were discharged because of hardship, certain medical conditions, or a service-related disability, you may still qualify.
How much should my down payment be?
Part of the appeal of VA home loans is the fact that you don’t have to submit a down payment at all. While the vast majority of other home loans require some sort of down payments, VA loan recipients don’t need them. Of course, if you have the means and would like to lower your monthly mortgage payments, a down payment could help with that. The standard recommendation is to save up for a down payment that’s 6% of the loan value.
What are the different types of VA home loans?
There are four major types of VA loans: purchase loans, Native American Direct Loans, Interest Rate Reduction Refinance Loans, and cash-out refinance loans.
Purchase loans are arguably the most common of all VA loans. You can purchase a new home or condo, build a home, or buy a home to improve upon. Because of its flexibility, most service members opt for this loan.
Native American veterans or veterans married to Native Americans may qualify for a Native American Direct Loan (NADL). This loan allows you to buy or improve a home that sits on federal trust land.
If you already have a VA-backed home loan, you could qualify for an Interest Rate Reduction Refinance Loan (IRRRL). You’ll be able to replace your existing loan with a new one in order to take advantage of lower rates and reduce your monthly payments.
Finally, cash-out refinance loans allow you to take cash from your home equity. This type of loan could be helpful if you need cash to handle a major expense, such as handling another debt or paying for school.
How do I get started?
Applying for VA home loans in Denver is easy when you work with 5280Lend. We can help ensure you meet the qualifications for your preferred loan type and walk you through the application process. Even if you’re unsure of your eligibility, 5280Lend can look at your circumstances and determine all the various loans you may be able to qualify for.
Don’t wait any longer to find a loan and purchase the home of your dreams. Contact 5280Lend today to get started!