Veterans United Network - Page 18

Getting a home loan from a mortgage lender means you’re interacting in what’s known as the primary mortgage market. Many lenders turn around and sell some or all of their loans and the right to service them to investors in what’s known as the secondary mortgage market.

One of the closing costs VA buyers usually contend with is prepaid interest on their new mortgage. Unlike rent, your mortgage is paid in arrears, meaning each payment covers the previous month you lived in the home, not the current one.

Prospective buyers can look to land a VA home loan using part-time income. But you’ll typically need a solid track record of receiving that income to make it work.

Getting a VA home loan can be more challenging if there’s a civil judgment showing up on your credit report. These typically appear after a creditor takes a consumer to court because of unpaid debts.

While it isn’t a common occurrence, veterans and military members may be able to purchase with a VA home loan through a revocable inter vivos trust.

Contracts to purchase homes often come with appraisal contingencies. These protect would-be buyers if the VA appraisal determines the home is worth less than what they agreed to pay.

When a homeowner puts their house on the market, they’ll prepare a packet of disclosures full of important information about the property.

Veteran and military homebuyers will need to have a "clear title" before purchasing a home. This means there aren't any liens, legal defects, or property disputes on the house you are trying to buy. This isn't an issue most of the time, but it's important to understand how it can halt your home buying journey.