The average military family moves every 2 to 3 years, making it necessary to rent or purchase multiple homes in a relatively short period of time. Although a military move can be stressful, it also creates an opportunity for you to build a valuable real estate portfolio. Using a combination of VA loans and other financing options, it's possible to purchase a home and then rent it out once you move on to your next assignment.
The Department of Veterans Affairs offers several benefits to individuals with a history of military service. One of those benefits is the VA home loan, which makes buying a house in the military a little easier. VA loan programs have extremely favorable terms, reducing your out-of-pocket costs and making it possible to buy a home even if you don't have a stellar credit score.
VA loans come with competitive interest rates. The federal government "guarantees" every VA loan, which means it will pay back your debt if you go into default. This guarantee allows lenders to charge lower interest rates than they do for other types of mortgages.
If you're currently in the military, you must have at least 90 continuous days of service to qualify for a VA home loan. For veterans, the service requirements vary based on when you served. Generally, you need to have at least 24 months of continuous service to meet the eligibility criteria for a VA loan. You may also qualify for this type of loan if you served in the Reserve or National Guard.
Even if you don't meet the minimum service requirement, you may qualify for a VA loan if you were honorably discharged from the military for one of these reasons:
If you're in the military, buying a house in Columbia, SC, is a great way to meet your current needs and get a head start on your financial future. As of 2023, Eastwood Homes has eight communities in the Columbia area, giving you access to beautiful homes with all the amenities you need to enjoy life.
Absolutely! With a VA loan, there's no requirement that you purchase a home with a spouse or domestic partner. You can buy a home as long as you meet the lending requirements.
Technically, there's no limit to the number of times you can use a VA loan. However, there is a limit to how much of the loan the Department of Veterans Affairs will guarantee. This may limit the number of times you qualify for a mortgage under one of these programs.
No. That's one of the many benefits of getting a VA loan. You don't have to pay for PMI, reducing your monthly mortgage payment. For example, if a lender charges 1% PMI on a mortgage of $200,000, you'd have to pay $2,000 per year, increasing your payment by $166.67 per month. No PMI means more money in your pocket.
You may read some conflicting information about using a VA loan for investment property purchases. Although a VA loan is supposed to be for your primary residence, there are some circumstances that make it possible to use the funds for an investment property. For example, you can use the loan to purchase a 4-unit building. As long as you live in one unit, you can rent out the other three, increasing your monthly income.
Investing in real estate gives you the opportunity to build wealth. You have to manage your portfolio carefully, but with a little effort, buying homes and renting them out can net you thousands of dollars per month in extra income. The amount of pay you receive for your military service doesn't always match up to the sacrifices you make, so it's wise to have other sources of income. While you're serving your country, you can be building wealth and setting yourself up for a better future.
If you're ready to start the military home buying process you can schedule an appointment or contact an Eastwood Homes Professional to learn more about communities in the Columbia, SC, area. We can help you find just the right property for your real estate portfolio.
The process of refinancing is very similar to the process you followed when you applied for your original loan. You have to find a lender, fill out the application, provide financial documentation and close on the new loan. Although there are some programs that require no credit checks or appraisals, most often you should be prepared to hire an appraiser and/or give the lender permission to check your credit history.
Did you know there are many different lending options available to you to help finance your dream of building your Eastwood home on your own lot? We have a team of lenders here to assist you finding the best option for you. Here's two of our most popular options!
Harrisburg, North Carolina, sits just outside Charlotte, making it a great place to live if you're looking for a quiet neighborhood with convenient access to big-city amenities. Here's what you should know if you're looking at homes for sale in Harrisburg, NC.