VA loans have offered home loan financing for many years, and are considered a great opportunity for veterans whom qualify; allowing them to become home owners, even if they do not meet all of the standards that are expected of the rest of society on conventional loans. Among the many benefits of the VA loan, there are a few set backs or road blocks, that you will need to consider when trying to obtain a VA loan. These so called “road blocks” are not there to limit eligibility for VA loans (whether you are looking to get a Georgia VA Loan, or any other state VA loan), but to protect the lenders with certain guidelines. So here are the most common road blocks to obtaining a VA Loan
- With every VA purchase loan, there is a pest inspection that is required. This is routine, but can become frustrating to home buyers trying to purchase a home if something goes wrong with the inspection; although, this could also be a good thing because it makes borrower aware of any problems that there may be, before purchasing the home.
- If the property has a different source for main water, other than what is commonly used (i.e. a well for main source of water for home), they will be required to have an inspection on water, to insure that it safe, and meets local requirements.
- The loan also requires a full VA-approved appraisal inspection, which tend to be more stringent than normal conventional appraisals, and are to be completed by a VA-certified appraiser.
- There is a required residual income test that is performed when determining eligibility, to determine borrowers’ discretionary cash left at the end of every month; requirements can vary by region.
- Another important requirement for eligibility is based on honorable military discharge, without it you will not qualify for the VA loan entitlement.
