NHL Lending in St. Petersburg can answer questions you may have about VA home loans.
You may have many questions regarding the uses for VA home loans. Considering the fact that this type of loan can be utilized for many things, you are bound to have quite a few questions in regards to your current situation. First, you may be interested to know that you can use your VA home loan to pay off your existing mortgage or liens of record on your home. In fact, the following refinancing loans are available under the VA guaranteed home loan program for you:
• To pay off the mortgage and other liens of record on the home
• To refinance an existing VA loan to obtain a lower interest rate
Either one of these choices may benefit you greatly depending on your current situation. If you are a veteran who is interested in opening a business, then you may want to know if you can use your benefits to get a business loan. You cannot. However, your business loan may be obtained through the SBA (Small Business Administration). You will want to know that the SBA gives preference to veterans who wish to receive small business assistance. Another loan that you cannot get from the VA is a farm loan. The only exception to this rule is if you will be personally occupying the farm home. In this situation, you may or may not conduct farming operations. If you do plan on having farming operations and these operations will be your main income, the next step will be to figure out the reasonable likelihood of success before your home loan will be approved. If you plan to use the residence as a farm, but you have a source of income other than the farm, and these other means will be the primary source of revenue, then the farming operations will not need to be considered.
How can you receive eligibility for a VA home loan?
The VA will determine your eligibility for a home loan. If you are qualified, you will then be issued a certificate of eligibility to be used in applying for VA home loan. If you need to request a certificate from VA, you must complete the VA Form 26-1880. This is the Request for a Certificate of Eligibility, form. After you have completed this form for your VA Home Loan Benefits, you must then submit it to an eligibility center. You will need to make sure that you send the form with acceptable proof of service. These steps will all be described on the instruction page of the form. However, you do not need to fill out this form alone. You can bring your proofs and the form up to NHL Lending, and we can help you fill it out and then fax it to where it belongs. This way, you will know that you are filling out the form correctly and will not have to face the hassle of an incorrectly filled out form. Our lenders can also answer any questions that you may have regarding VA home loans. If you would like to learn more about these types of loans or how to fill out the necessary paperwork, contact us today!
How can you use your VA home loan benefits in St. Petersburg?
If you are interested in using your entitlement with other veterans to acquire a property together but are not sure that you can, NHL can help. You can use your benefit with other veterans. The guaranty that is supplied to each veteran will be based on each veteran’s interest in the property. However, the guaranty on the loan that you all receive may not exceed the lesser of 40 percent of the loan amount or $36,000. Another situation that you may find confusing will involve your spouse. If you are both eligible for a loan, you may be wondering if you can acquire property jointly and therefore, increase the amount which may be guaranteed to you. It is important to know that you may purchase property together, but the amount of guaranty on loan may again not exceed the lesser of 40 percent of the loan amount or $36,000. This is the same circumstances as using your entitlement with other veterans.
However, if you are interested in obtaining a VA home loan with someone that is not a veteran, then you should know that the guaranty will be based only on your portion of the loan. More importantly, the guaranty cannot cover the nonveteran's part of the home loan. Keep in mind that this situation does not apply to a VA loan that will be given to a veteran and spouse, even when the spouse is not a veteran. Lastly, we want you to know that just because you have received a certificate of eligibility; it does not guarantee approval of a VA loan. You (and your joint filer if applicable) must still be found to be qualified for the loan from income and credit standpoint. Our lenders are standing by to answer all of your questions regarding VA loans, entitlement uses, and eligibility questions. If you would like to see if you are eligible for low VA home loan rates based on your services, then contact NHL Lending in St. Petersburg today!