VA Home Loan in Pennsylvania
What are the required rates of VA home loan in Pennsylvania?
The United States Department of Veterans Affairs (VA) offers a home loan program for current and former members of the United States Armed Forces. Under the program VA home loan in Pennsylvania, eligible applicants can receive mortgage loans originated by a conventional lender such as a bank or mortgage company, but insured by the Department of Veterans Affairs.
Benefits of Pennsylvania VA loans
The backing of the federal government results in favorable loan terms such as no down payment, low-interest rates, limited closing costs, and no private mortgage insurance (PMI). Further, the benefit is a lifetime benefit that can be used by service members and surviving spouses multiple times.
Many eligible borrowers choose the VA loan program because of the many benefits it offers. For example, VA loans often have little to no down payment or private mortgage insurance requirements.
These costs are offset by the one-time VA loan funding fee which is paid directly to the Department of Veterans Affairs. The amount is determined by a number of factors including your active duty status, whether your service was National Guard or Reserve, and the amount, if any, of your down payment.
How to get a VA home loan in Pennsylvania?
What are the limits of Pennsylvania VA loan?
Luckily, eligible veterans and surviving spouses no longer have home loan limits. To meet full entitlement, an applicant must meet one of the following:
- Applicant has never used the benefit; or
- Applicant has previously had a VA loan and that loan is paid in full;
Eligibility criteria for home mortgage loans by veterans administration
Eligibility for VA loans in Pennsylvania is determined by length of service, duty status, and character of service. Ultimately, the VA has the final decision with regard to program eligibility and the issuance of a Certificate of Eligibility (COE). A COE is a requirement for any VA loan.
The VA publishes service requirements for Veterans and service members on active duty, National Guard members, and Reserve members. Each group of minimum service requirements is further subdivided on dates and length of service. However, under certain circumstances, even applicants who fail to meet the minimum service requirements may be able to qualify.
These circumstances include discharge for hardship, government convenience, early out, reduction in force, certain medical conditions, and service-related disabilities.
How property taxes in Pennsylvania affect the veterans loan procedure?
The Commonwealth of Pennsylvania has a Real Estate Tax Exemption program for honorably discharged veterans with a 100% disability rating and a demonstrable financial need. To qualify, an applicant must meet the following eligibility requirements:
- Honorable discharge or under honorable conditions;
- Service during a period of war;
- Total disability or 100% permanent service-connected disability rating or meet blindness or paraplegic ratings;
- Pennsylvania residency;
- Primary residence;
- Owned by the veteran;
- Financial need according to VA criteria.
To apply for this real estate exemption, eligible veterans should contact the Veterans Affairs Director of their county of residence.