There’s A Simple Answer
In a nutshell, the answer to this question is: yes, when the time is right. What is your personal situation? Are you in a position to purchase a property? The VA loan benefit can make it so you aren’t penalized for paying it off early; you can get to a point where you’re playing a sort of game.
You pay off your mortgage in excess of the minimum monthly amount due with increasing rapidity until the property is yours, free and clear. Without the VA loan benefit, you may not have this option without associated financial penalties. So in that situation, you may well want to use this benefit.
However if you’ve already got some outstanding debts and you’re not bringing in much money on a monthly basis, you might be shooting yourself in the foot by going this route. In this writing we’ll quickly explore some of the features defining the VA loan benefit to help you make an educated decision on whether or not the time is right for you to take advantage of it.
You should definitely use it some time; even if it’s not right now–but when you do use it, you want to get the most out of it, and avoid stretching yourself out financially. So keep these things in mind as you go about determining whether this is the right move for you presently:
- Present Eligibility Considerations
- If You’re Eligible, Assure You’re Pursuing A Good Investment
- Things To Keep In Mind If You’re Not Familiar With VA Loans
Present Eligibility Considerations
Firstly, you need a COE, or Certificate Of Eligibility. Without this, your lender can’t give you the benefits associated with a VA loan. COE depends on your history of service, and the sort of duty status you can claim. At minimum, you’ll need to have income and credit requirements prior financing.
Provided you haven’t sustained a dishonorable discharge, and active duty requirements regarding service are in the proper time frame, you should be eligible. In the right situation, you’ll get benefits like lower interest rates and diverse types of loans.
Generally, you can expect VA loans to include very low–often the lowest–interest rates, period. Also, even if you’ve used VA benefits, you may have eligibility to maintain associated financing. To learn more about eligibility, visit this site.
If You’re Eligible, Assure You’re Pursuing A Good Investment
When you’re eligible, and when you’ve got finances requisite to the requirements of a financial institution for the approval of a loan, your next move is to determine if the investment you’re considering is wise.
Consultation is smart, as is researching the financial intrigues surrounding your potential investment. Sometimes a bad property in a bad neighborhood is a good investment if you’re turning it into a sort of rental solution. Sometimes a good property in a good neighborhood is a bad investment if property taxes are too high; so do your homework.
Things To Keep In Mind If You’re Not Familiar With VA Loans
While VA loans tend to have reduced interest rates, eligibility is something you must attain, and that can require documentation. That said, as referenced earlier, even if you’ve used some aspects of your VA loan option, you may be able to retain financing after the fact. So keep these things in mind.
Making The Right Choice With The Benefits You’re Entitled To
Yes, if you’ve got a VA loan benefit, you should find a way of using it. In all likelihood, you’ll need to take out some sort of loan at some time in your life. If you’ve got benefits you can use, you should use them–but at the right time, and in the right way. Provided you’ve researched the investment right and your financials are sound, you can reap the most benefit from your VA loan.