Can I be Approved for a mortgage using a VA home loan?
I am a 100% srevice connected disabled Veteran who was deemed unemployable due to my disabilities. I am willing to put up between 15 and 20 Thousand Dollars for a down payment on the House. The only reason the VA home loan sounds better to me than a normal home loan, is that since im disabled, I will not have to pay a funding fee and I will not have to pay any closing costs using the VA home loan. I have a credit score of around 700. Can I use my monthly VA disability compensation payments ( which is around $3000/month which equates to over $700 per week of tax free income) as my only proof of steady income to get approved for a mortgage?, Im planning on living in a suburb of Buffalo NY, where a nice decent home can be found for around $140,000. Im thinking/hoping so, especially with up to a 20 Thousand Dollar down payment? advice or thoughts anyone? thanks
- Glenn SLv 77 years agoFavorite Answer
First...thank you for your service and your sacrifice.
You should be able to get a VA loan and not have to use at least part of your saving as a down payment. And yes you can use your VA benifits to qualify for a loan. Contact an experienced Realtor in your area to help you find a house.
- RobLv 77 years ago
here locally u would qualify for a loan of 150,000
based on 'income'.
the reality is u would want to stay lower as your
situation will eat more of your income than projected.
as for down, keep it around 10K. u are missing some costs
that VA doesn't talk about.
do get a mortgage broker to get bids on the loan.
VA loans aren't best long term.
moving costs, set up / utilities costs often eat up $$.
the worst on is 'empty house syndronm' that can cost
u 5000 -15000$ with in first 2-3 yrs.
good books b4 getting in a house that burns u =
house buying kit for dummies, E. Tynsen.
total money make over, dave ramsey.
u can learn from others mistakes, not your own.
much cheaper easier faster.
good knowledge is good luck.Source(s): foreclosure buyer
- A HunchLv 77 years ago
At most you can get a loan for 3x your income. Since your income is $3000 a month or $36,000 a year, the most you can be loaned is $108,000.
Let's say you have $17,500 for a down. You are going to subtract about $6000 for closing costs. That leaves you with a down of $11,500.
As a result, the most expensive house you can purchase is $108,000 + $11,500 = $119,500
- about $20K short of a $140K house.
If you have any significant debt, that will decrease the amount that the banks will loan - 3x is the TOP. Many people are at 2.5x income.
All the rest sounds really good.
- 7 years ago
When you are applying for a VA mortgage loan, you are not required to make any down payment. However, you must check if you are eligible for a VA mortgage loan. If you are eligible for taking a VA mortgage loan, you can negotiate with several lenders to get better mortgage rates.
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- ?Lv 77 years ago
you might have a hard time finding someone that will sell a house VA. the VA requires the seller to
do things that a lot of people don't want to do to sell their house. whatever you want to buy, you will need to put up more than 20% as a down payment. not all banks will do VA loans, you will need to find one that does.