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

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  • 7 years ago
    Favorite 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.

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  • Rob
    Lv 7
    7 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
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  • 7 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.

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  • 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 7
    7 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.

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