Even though a VA loan is more veteran-friendly than other types of loans, you could still make costly mistakes that delay your ability to buy a home. Fortunately, those mistakes are usually avoidable. Here are the three most commonly made mistakes and how you can avoid them.
Skipping the Inspection in Favor of the VA Appraisal
Veterans Affairs will require you to obtain an appraisal of the home you want before your loan can be approved. The appraisal takes into account such factors as the amenities in the home and the neighborhood. It does not provide the same assessment of the home as an inspection does. Therefore, it is important that you do not skip the home inspection.
Without the home inspection, you could face serious repairs in the future. There is also the possibility that the VA will not approve your loan due to the lack of an inspection.
Working With an Agent Who Is Not Familiar With VA Loans
VA loans come with special requirements that have to be met in order for the agency to fund your home loan. If you fail to meet those requirements, your home buying experience could be delayed over and over again until you finally do. The delay could mean you have to continue to stay in your current living situation until your loan is approved.
A real estate agent who is familiar with VA loans will help you focus on homes that meet the requirements for the loan and guide you through each step that is necessary to get approval. The agent will also be more committed to helping you successfully complete the home buying process because of your service and commitment to the country.
Attempting to Apply With Non-Spouse
Applying for a loan with your spouse is not a problem. However, if you want to apply for a loan with someone you are not married to, you could run into problems. The loan is designed for veterans and their spouses. If you want to apply for a loan with a girlfriend or boyfriend, you might not qualify for a traditional loan.
There is a way to still qualify for assistance from the VA. You could apply for a joint loan. With a joint loan, only your portion of the loan would be insured by the VA. If you do marry your girlfriend or boyfriend, the loan could be converted so that it is no longer a joint loan. There are many military real estate agents that can assist in your search.