Frequently Asked Questions

VA Loan FAQ #10:

Do I have to take a fixed rate VA loan?

Veterans who shop around will learn it's possible to get a fixed rate loan, negotiated with the lender of your choice. Another option? The adjustable rate loan, where interest may be adjusted one percent annually, up to five percent over the duration of the loan period. Which to choose? No matter which way you think is best, do your homework, shop around and get the best rate possible. Some make the mistake of taking the first offer that sounds fair, but don't be intimidated by the process. You may be eager to get the "hard part" over with and get into a home.

Take some time to research the biggest purchase of your life! When in doubt, consult an expert, a legal advisor or a trusted friend in the real estate business. The more research you do, the better you'll feel at closing time. The VA is in the business of loan guaranty, but the choice of which loan to take is strictly up to you. It's also a good idea to look for businesses who make a habit of cultivating customers who are veterans--you may find their expertise in VA matters quite valuable to reduce unnecessary waiting times on paperwork.

1. What is a VA loan?
2. Is using my VA loan eligibility a good idea?
3. What can I buy with a VA home loan?
4. What is the maximum amount I can borrow with a VA home loan?
5. What can be done when both husband and wife are eligible?
6. I am a veteran who purchased a home with my spouse utilizing my VA eligibility. I am now divorced and my spouse was awarded the home. How do I get my eligibility back?
7. I heard the VA has an inventory of foreclosed homes. How can I find out more about this?
8. What role does the VA play in helping me get a loan?
9. What are the advantages of a VA loan?
10. Do I have to take a fixed rate VA loan?
11. Should I get a pre-approved loan?
12. How do I get proof of eligibility?
13. I don’t have an honorable discharge, am I automatically disqualified from VA loan eligibility?
14. What if I can't find my DD214 form?
15. Is it possible to use my VA eligibility more than once?
16. What is the one-time exception for renewing VA eligibility?
17. Can I get eligibility for another VA loan even though I am still working on the first one?
18. Can I use my VA loan to buy a rental property?
19. What happens if I file bankruptcy and wish to buy another home at some point?
20. How is my VA home loan eligibility determined?
21. Can I get a home equity refinance with the VA?
22. Am I limited to buying an existing home with a VA loan?
23. Are there fees associated with my VA home loan?
24. Who is exempt from paying the VA funding fee?
25. Can I bring on a co-signer on my VA home loan?
26. How does the Veterans Benefits Act change my loan process and entitlements?
27. Can the VA help if I think I may be encountering discrimination in my search for a home?
28. What if I can't find a house to buy with a pre-approved VA loan?
29. Can I use a VA loan to buy a reposessed house?
30. How can I help myself before applying for a VA home loan?
31. What help does the VA offer in the homebuying process?
32. Will the VA help if my property is poorly built or defective?
33. Can I buy a farm with a VA loan?
34. Can I make a home purchase outside of the US?
35. What if I die before paying off my VA loan?
36. Once I sell my property, am I released from my VA loan obligation?
37. What happens if my mortgage is sold to another mortgage company?