Disabled Veterans Benefits On VA Home Loans By The VA And County
This BLOG On Disabled Veterans Benefits On VA Home Loans By The VA And County Was PUBLISHED On April 11th, 2019
The Department of Veterans Affairs (VA) insures and guarantees VA Loans to private lenders.
- There are no minimum credit score requirements on VA Loans
- There is no maximum debt to income ratio requirements on VA Loans
- VA Loans have much easier lending guidelines than any other loan program
- VA Loans is the best loan program available in the United States
- Our government created and implement the VA Guarantee Loan Program to reward our active and retired members of our U.S. Armed Forces
- The VA offers 100% financing to eligible borrowers with a valid Certificate of Eligibility (COE)
- VA allows home sellers to give buyers up to 4% sellers concessions to cover buyers closing costs
- With 100% financing and closing costs covered by sellers concessions and/or lender credit, veterans can purchase a home with zero money out of pocket
- There are also special Disabled Veterans Benefits for disabled veterans
- VA Funding Fee which is normally rolled into the VA loan balance is exempt for disabled veterans
- Disabled Veterans Benefits also includes property tax exemption by the county the property is located
In this blog, we will cover Disabled Veterans Benefits on VA Mortgages.
Exclusive Disabled Veterans Benefits
Disabled Veterans Benefits may include special grants from the Department of Veterans Affairs to modify their homes to veterans-specific disabilities.
- The VA wants to offer Disabled Veterans Benefits to our brave men and women of our military by offering them to purchase a home with as little money out of pocket as possible
- Most counties throughout the United States offer property tax exemption to our disabled veterans
- Disabled Veterans Benefits includes not meeting the minimum required service days for war and/or peacetime on active duty
However, disabled vets still need to meet VA Lending Guidelines.
VA Mortgage Guidelines
Here are the basic VA Mortgage Guidelines:
- 100% financing with no down payment required
- No annual mortgage insurance required
- Very low mortgage rates due to government guarantee
- Two years out of Chapter 7 Bankruptcy discharge date, foreclosure, deed in lieu of foreclosure, short sale
- Owner-occupant one to four unit homes only
Disabled Veterans Benefits On VA Loans
Disabled veterans get additional benefits:
- Exemption from the VA Funding Fee if they qualify
- Grants for special accessibility modifications
- Veterans receiving a service-connected monthly disability payment are exempt from the VA Funding Fee
- VA Funding Fee is anywhere between 0.50% to 3.3% and is normally rolled into the VA Loan Balance
- However, this VA Funding Fee can be waived for disabled veterans
Specially Adapted Housing (SAH) grants are available through the VA to help disabled veterans pay for mobility modifications that can make their homes more accessible.SAH grants can be made for no more than 50 percent of the total cost of a specially-adapted home, up to the aggregate maximum of $81,080. The law allows for the SAH grant benefits to be used up to three times by each eligible veteran to accommodate for annual increases in the total maximum. Some restrictions apply like VA loans require owner occupancy, and SAH grants require ownership and title of home. For more on VA home loan benefits for disabled vets, get in touch with an experienced mortgage professional.
Property Tax Exemption
Depending on the county, most counties will exempt property taxes for disabled veteran homeowners. However, property taxes are used to qualify borrowers. Once borrowers close on their VA Loans, they need to pay property taxes until their property tax exemption has been approved by the county. It normally takes six to 12 months to get the official property tax exemption.