VA Loan Qualifications
Basic VA Loan Eligibility
What credit score needed for a VA loan?
VA Loan Qualifications - Eligibility for a VA loan is simple if you have served in the military. The basic criteria to qualify for a VA loan are as follows (You must fit into one of these categories):
- WWII veterans (active-duty) discharged without the status of "dishonorable"
- Any active duty veterans who served during a major conflict for at least 90 days
- Any peacetime or active personnel who's served for at least 180 consecutive days
- Enlisted veterans with service dates after 1980 (or officers serving after 1981) who have served at least 2 years.
- Those serving in the Coast Guard Reserves as well as Army National Guard and Air National Guard may also qualify .
There are many benefits to applying for a VA loan rather than a conventional loan - VA vs Conventional Loan comparison. You'll save money with the VA loan in almost all cases.
Credit Score and VA loan Qualification
No Minimum FICO credit score needed - VA lenders are not concerned with your FICO score if you are an eligible veteran.The good news for many is there is no minimum FICO score needed to qualify for this military loan unlike a conventional mortgage. You will need good credit in the short term however. What's the key to qualifying?
The Key to Qualifying for a VA loan
You Need a solid 12 month credit history - Instead of penalizing you for a sub prime FICO score, lenders will be checking your recent credit and scrutinizing the last 12 months of your bill paying history. Most lenders allow one 30 day late payment within the last year.
Your FICO credit score could be a dismal 550 and still qualify for a decent interest rate.
More details: VA Mortgage Credit Requirements
Forms Needed When Applying for a VA Loan
You'll want to make sure you heve these forms below proplerly filled out and avalable for your broker or lender before applying for a mortgage loan
COE - Certificate of Eligibility
COE - Certificate of Eligibility is needed to qualify for a VA loan In order to qualify for a VA loan, you'll need a COE. This simply proves you have met the requirements to apply for a VA home loan.
Where to obtain COE - VA Form 26-1880 You need to obtain your COE certificate through a service called ACE( automated Cretificate of Eligibility) The form you'll need to complete is VA Form 26-1880 a request for eligibility of a VA loan.
Completed Form DD-214
Form DD-214 You'll need to obtain this form that was submitted as proof of discharge in order to complete the COE. This legal document form confirms official sepertation from the military. This document is usually on file in the county clerks office where you are currently residing . Request form DD-214
Refinance VA loan questions?:
