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What is the Approved VA Loan Purpose
Approved VA Loan Purposes
One purpose is to buy a home including a townhouse or a condominium unit in a VA approved project.
A second purpose is to build a home.
A third purpose is to simultaneously purchase and improve a home.
A fourth purpose is to improve a home by installing energy related features such as solar or heating/cooling systems, water heaters, insulation, weatherstripping, caulking, storm windows/doors or other energy efficient improvements approved by the lender and VA. These features may be added with the purchase of an existing dwelling or by refinancing a home owned and occupied by the veteran. A loan can be increased up to $3,000 based on documented costs or up to $6,000 if the increase in the mortgage payment is offset by the expected reduction in utility costs. A refinancing loan may not exceed 90% of the appraised value plus the costs of the improvements. Check with a lender or the VA for details.
A fifth purpose is to refinance an existing home loan up to 90% of the VA-established reasonable value or to refinance an existing VA loan to reduce the interest rate.
Finally a sixth purpose is to buy a manufactured home and/or lot.
These are the
VA loan purposes
that you can use for your home. If you have any other questions about use of a VA loan, please contact me.
Don't forget to maintain good credit. No matter what first time home buyer loan program you look at your credit is important.
Also if you need down payment help, there are many things you can do. Be sure to check out grants for your state or our down payment assistance pages. I've prepared these pages with lots of information to help you.
If you would like to leave What is the Approved VA Loan Purpose and return to our VA Home Loans main page, click here.
Or return to First Time Home Buyers home page.
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