The VA Loan is a home-mortgage option available to United States Veterans, Service Members and not remarried spouses. VA Loans are issued by qualified lenders and guaranteed by the U.S. Department of Veterans Affairs (VA).

You have served 90 consecutive days of active service during wartime,

OR
You have served 181 days of active service during peacetime,

OR
You have more than 6 years of service in the National Guard or Reserves,

OR
You are the spouse of a service member who has died in the line of duty or as a result of a service-related disability.

Homebuyers interested in the VA Loan aren’t required to reach any kind of income threshold to use their home loan benefits; however, borrowers are expected to have stable, reliable income that will cover monthly expenses – including their new mortgage payment.

Additionally, the VA requires that borrowers maintain a certain amount of income left over each month after all major expenses are paid. The excess is meant to cover typical family needs, such as food, transportation and so forth and is referred to as residual income. Residual income is a large reason why the VA Loan maintains one of the lowest foreclosure rates of all major lending options.

By enforcing residual income requirements, the VA increases the chances of its borrowers earning sufficient income to meet all financial obligations, and also ensures borrowers have a cushion in the event of an emergency.
The VA loan process typically takes 30 to 45 days once you’re under contract on a home, although every buyer’s situation is different. Applying for a VA loan doesn’t obligate you in any way to a particular lender or to moving forward with the home buying process.

Here’s a look at the four basic steps to applying for a VA Home Loan:
1.Familiarize yourself with the broad VA Loan eligibility requirements above
2.Contact a VA-approved lender like Veterans United Home Loans and start your VA Loan application
3.Obtain your Certificate of Eligibility through your lender or on your own
4.Finalize your loan application and provide all necessary paperwork to your lender, including W-2s, tax returns and recent bank statements

Ruth Schoenherr is a mortgage broker who will help you find home loans in the Clearwater, Palm Harbor, Largo, Safety Harbor, St Petersburg and Tampa Bay area. For more information, go to her web site at www.ClearwaterMortgageBroker.net or call at 727 447-2418.