VA Loans
VA Loan Programs are probably the best mortgage loan program available. However, VA Loans are only limited for members and spouses of deceased veterans of the United States Armed Services and who have a Certificate of Eligibility by the Department of Veteran Affairs.
- VA Loans offer 100% financing
- VA Home Loans have the lowest mortgage rates with no private mortgage insurance required than any other residential mortgage loan programs which include FHA, USDA, and conforming loans
- Many service members who have a VA Certificate Of Eligibility do not realize that their civilian spouse is eligible for VA Loan Benefits
- Veterans can add their civilian spouse to qualify for their VA Loan
Qualify For a VA Mortgage Today
Using Civilian Spouse To Qualify For VA Loan Benefits
Many times, a service member who has a VA Certificate Of Eligibility is married to a civilian spouse.
- Often times, service members with a VA Certificate Of Eligibility assume that the civilian spouse’s income cannot be used to qualify for their VA Loan
- This is absolutely not the case
- Homebuyers with a VA Certificate Of Eligibility and their civilian spouse’s income can be used to qualify for VA Loan
Veterans with a civilian spouse with substantial documented income can qualify for a substantial VA Loan amount.
How Does Adding Veteran’s Spouse As Co-Borrower Work For VA Loan Benefits
The United States Department of Veteran Affairs permits civilians spouses of eligible VA Loan borrowers to be added to the VA Loan as co-borrowers.
- Borrowers can use the income of the spouse of the service member
- This holds true as long as the spouse qualifies with credit
- As with other mortgage loan program, the lower of the two middle scores of the borrower’s are used to qualify for credit
For example, if the veteran has the following credit scores:
- 750 Transunion
- 723 Experian
- 700 Equifax
The 723 is the veteran’s middle score
If the civilian spouse has the following:
- 700 Transunion
- 600 Experian
- 500 Equifax
The 600 credit score will be used to qualify this VA Loan
- The reason spouses credit scores are used is that the civilian spouse has the lower of the two borrower’s middle credit scores
Eligibility Requirements On Surviving Spouse Of Veteran
Surviving spouses of veterans now have VA Loan benefits and can qualify for VA Loans.
Here are the guidelines on eligibility requirements on VA Loan benefits.
- Non-remarried surviving spouses of service members who have deceased in the line of service and/or military service-related disability are eligible for VA Loan benefits
Spouses of military veterans:
- who the service members were MIA
- missing in action for at last the past 90 days are eligible for Department of Veteran Affairs benefits for VA Loans
Any surviving spouse of a service member of the United States military who is classified as a disabled veteran and eligible for disability benefits at the time of death from any causes of death is eligible for the Department of Veteran Affairs benefits.
Divorce From A Service Member
Divorce members of veterans are not classified the same way as spouses of surviving members of the military.
- Situations where there is a divorce after the service member and the civilian wife has a VA Loan together can become very hairy
- This is because the Department of Veteran Affairs does have strict rules and regulations on who can live on the house that was purchased with the VA Loan
- If the VA Loan had the civilian spouse as a co-signer, the civilian spouse can live in the home and the service member can exit the property
- There will be an issue when the service member decides to get another VA Loan which is the VA entitlement
- The service member will not be able to restore their VA Loan entitlement
VA Loan Entitlement cannot be restored unless the civilian spouse sells the home and pays off the VA Loan as follows:
- pays off the VA Loan in full
- or refinances the VA Loan to another type of loan program
VA Loan Lender With No Overlays
Homebuyers who need to get qualified for a VA Loan, contact us at Non-QM Mortgage Brokersat 800-900-8569 or text us for a faster response. Or email us at gcho@gustancho.com. We are VA mortgage lenders with no lender overlays. Non-QM Mortgage Brokers specializes in helping VA Loan Borrowers with bad credit, high debt to income issues, and VA loan borrowers who were denied by other VA mortgage lenders.
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