Veteran Housing Assistance In Washington
Brandon Fischer
For military members and veterans looking to buy a home in Washington, there’s likely no better option than a VA loan. For more than 65 years, VA loans helped make homeowners of more than 18 million men and women who served our country.
The requirements for VA loans are not severely limiting. Those who may qualify are active-duty personnel, honorably discharged veterans or those discharged for a service-related injury. Usually military personnel qualify if they served 90 days or 181 of active duty during wartime or peace time, respectively. Spouses of fallen service members may qualify, as might Reserves or National Guard members who served for six years.
Advantages to VA loans are significant. The most cited benefit is the no-money-down possibility for qualified borrowers. For $0 down, borrowers can finance a home in Mason County worth up to $417,000. On top of that, borrowers may get sellers to pay up to 6 percent of closing costs. Other notable upsides to VA loans are:
-No penalty for prepayments
-Negotiable interest rates
-No private mortgage insurance
-Financing the VA funding fee
Basic Housing Allowance payments (BAH) further dwarf financial pressures, particularly when used in conjunction with a VA loan. The government determines BAH payments by calculating median housing costs in every market. However, excess money from having cheaper costs than payments earn is yours to keep.
BAH payments are designed to cover housing costs for service members on duty, but without government-issued housing. Depending on dependency status, location and pay grade, the payments differ.
Also, BAH acts as a verifiable type of income, thus making your debt-to-income ratio more favorable. When issuing VA loans, lenders look closely at this ratio. Basically, purchasing a home in Mason County won’t be as financially burdensome when using a VA loan and BAH.
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Thank you Brandon for this helpful and informative article!
Tags: BAH, buy a home, military members and veterans, National Guard, Reserves, VA loans, Veterans
