Looking for financing solutions that can simplify the process of buying a home? If so, applying for a loan from the Department of Veteran’s Affairs (VA) could be the answer you’ve been seeking.
Before you can qualify for a VA home loan, there are a few boxes that you’ll need to check. One of these is having your credit score reviewed and approved by a lending professional. If this prospect gives you some anxiety, don’t worry – you’re not the only one. Many homeowners today tend to feel some confusion about the role their credit score will play in the homebuying process.
One common question among aspiring homeowners is: What minimum credit score do I need in order to be approved for a VA home loan? In this article, we’ll outline all of the information that you’ll need to answer that question.
Who Is Eligible to Receive a VA Loan?
To qualify for a VA loan, you must have a history of active service with the United States military.
Depending on when you served, you’ll be required to prove anywhere between 90 days and 24 months of active duty. If you don’t meet that requirement, you’ll need to prove that you were discharged for one of the following reasons:
- The convenience of the government
- Early out
- Reduction in force
- Certain medical conditions
- Service-connected disability
Now that we understand the basic eligibility requirements, let’s turn our attention to how your credit score comes into play.
What Credit Score Will You Need to Receive a VA Loan?
Your credit score is a quantitative measure which tells lenders how likely you are to repay a loan on time. It’s essential, therefore, to make sure you have a healthy credit score before applying for a VA home loan.
But what exactly qualifies as a “healthy” credit score in this case?
In 2020, the minimum score range that’s needed to qualify for a VA home loan is between 580 and 660. A credit score of 700, in other words, will generally be regarded as sufficient by a private lender.
How to Apply for a VA Home Loan
A strong credit score will make it much easier for you to receive an optimized VA home loan. But that’s only the beginning. In order to be sure that you’re getting the best loan available, you’ll need to partner with a high-quality broker. At Mortgage Solutions Financial, we’ll ensure that you receive the best VA loan possible given your credit history and budget.
Contact Mortgage Solutions Financial Today
Are you ready to start shopping for VA loan options that can help you to purchase your dream home? If so, contact our office today to get started!