VA MINIMUM PROPERTY REQUIREMENTS FOR HOME LOANS EXPLAINED
Owning a home is a dream for everyone, but sometimes, your dream house can be pretty expensive, and some sellers will ask for a substantial down payment upfront. However, there are other things that you can do to get your dream house. If you are actively serving or a Vet, you can apply for a VA home loan, and all you need to do is be aware of the VA minimum property requirements. This is crucial because this can make or break your approval.
The VA loan will allow you to own a home with low closing charges and no down payment, making your purchase more affordable than traditional loans.
VA Home Loan Eligibility Criteria for Veterans
The initial requirement is that you must be qualified for VA loan benefits, have a credit score of 620 and above, have a stable income, and be employed. Vets and service members don't need much money saved as they don't require any down payment. Those who are serving in the Armed Forces are only sometimes approved. You need to meet some of the requirements to get the VA loan.
First, you must have served 90 consecutive days during wartime and 181 days during peacetime. Another requirement is to have rendered service for over 6 years with the National Guard or Reserve. Lastly, you are the surviving spouse of a service member who died in the line of duty.
Before you can get your VA minimum property requirements, you need to consider your credit score. Most VA lenders want to see at least 620 for the credit score requirement, and others can go as low as 580. Your lender will also consider reviewing your credit report, ensuring you have a clean history. Others will also allow at least one late payment within the past 12 months. If you have filed for foreclosure or bankruptcy, you must wait 2 years before you can qualify.
As per the U.S. Department of Veterans Affairs, there is no cap or limit on how much you can borrow with the VA loan. You can borrow from any lender as long as you have the full entitlement. However, remember that the amount will depend on your income and credit.
VA Minimum Property Requirements for Home Loans
It is good to remember that the loanable amount and interest will always depend on the situation. If you have full entitlement, you will receive no limit on your loans over $144,000.
However, if you have remaining entitlement, you are on a limited-based loan, which sometimes will depend on your county. To get you started with the MPRs, here are some things you need to consider.
The Paint Should Not Be Lead-Based
One of the things that you should consider is that the house you're buying does not have any lead paint on it. The home appraiser will double-check the year of the home, ensuring it is safe.
If the house were built before 1978, they would automatically assume it had lead-based paint and inspect the whole home. Any led areas will need to be removed or repainted.
Property Is Residential
The most essential thing you must consider is the house should be residential. This is because the VA home loan intends to provide Vets with a primary residence.
Accessible Property Year-Round
Your appraiser will double-check the property to ensure it is accessible and safe for you and your family. They will also ensure that roads are available in all kinds of weather.
If you share the road with a neighbor, you need to have a plan to maintain it, keeping it free from obstacles, safe, and clean.
Free from Termites and Other Pests
One of the most crucial VA minimum property requirements is that you need to ensure that the property does not have any pests. The appraiser will ensure that the property has no history of these nuisances. Aside from this, they will also consider signs of dry rots and fungus.
Proper Water and Sanitation
Your preferred home must show evidence that it has a healthy, clean, and potable water supply that you can use for bathing, cooking, and drinking. You must also have hot water and approved sanitary restrooms and sewage systems.
Adequate Roofing
One of the VA minimum property requirements is proper roofing since one of the common issues homeowners complain about is needing a more robust roof. If you borrow from the VA, the roof must be durable enough to withstand various weather conditions.
Also, the roof must be redone if there are three or more layers of shingles. As per the inspection requirements, the shingles must be removed if another layer is added.
Heating System
In some parts of the country, they need to be able to keep plumbing systems at 50° F or higher in the form of a heating system. These heating techniques can be in the form of an electric system or fireplace. If you have a wood-based heating system, it is better to have a fallback.
Related reads:
- What Is an IRRL Loan from the VA?
- VA Home Loan COVID Relief Is Extending Until May 31, 2024
- A Complete Guide to VA Renovation Loans
Sources:
BY ALLISON KIRSCHBAUM
Veteran, Military History & Culture Writer at VeteranLife
Navy Veteran
Allison Kirschbaum is a Navy Veteran and an experienced historian. She has seven years of experience creating compelling digital content across diverse industries, including Military, Defense, History, SaaS, MarTech, FinTech, financial services, insurance, and manufacturing. She brings this expertis...
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Expertise
Allison Kirschbaum is a Navy Veteran and an experienced historian. She has seven years of experience creating compelling digital content across diverse industries, including Military, Defense, History, SaaS, MarTech, FinTech, financial services, insurance, and manufacturing. She brings this expertis...
