A mortgage loan made available to veterans of the United States Armed Forces to facilitate the purchase of a home. A VA loan is issued by a traditional lender and backed, in part, by the US Department of Veterans Affairs. The backing provided by the VA allows veterans who would not normally qualify for a mortgage loan due to credit or other issues to purchase a home.
A VA loan differs somewhat from a standard mortgage. Even though it is
provided through a private lender, the federal government guarantees a portion of the principal. Borrowers who are eligible for a VA loan are permitted to have a small, or sometimes non-existent, down payment and still get a mortgage. Be sure to ask your lender what its down payment requirements are when requesting a VA loan.
Some of the requirements for a VA loan are standard, as with any loan, and
you’ll also need a certificate of eligibility to show the lender. You can get this certificate through the Department of Veteran Affairs. To see a full list of eligibility requirements, visit the Department of Veterans Affairs website at www.homeloans.va.gov
. This site can also answers additional and specific
questions about the program.