Understanding the eligibility requirements for a Texas Veteran’s Loan will save you time and money when applying for a loan. Additionally, this information will help the loan process complete faster and easier. Continue reading to learn about the requirement of a Texan Veteran’s loan.
Although the Veteran’s Administration has no specific credit score requirements, most lenders do require a specific credit score requirement for loan approval. Both Texas Veteran Loans and VA mortgage lenders have guidelines set forth that helps to determine your ability to repay your mortgage. In addition to this, the lender will look at your credit score. If you have had credit problems in the past, the lender may not approve your mortgage. To help determine the lender’s credit score requirements, speak with the lender before you apply for a Texas Veteran’s Loan as they may be able to tell you how you can improve your credit before you submit an application. Improving your credit score may help you better qualify for a mortgage and may decrease your interest rate.
Many people wonder if their disability will affect their eligibility to apply for and get approved for a VA loan in Texas. If you have been honorably discharged due to a disability, you may be exempt from the loan’s active service requirement. Certain lenders will include your disability allowances as income. Additionally, those who have a service related disability will be exempt from the VA funding fee.
The Texas Veterans Loan is similar to the VA mortgage and most of the eligibility requirements are the same. However, in order to qualify for a Texas Veterans Loan, you must be a resident of Texas. This means that you must live inside the state unless you are currently serving in an area outside of the state. If you are serving elsewhere, you must have the intention of living in the state of Texas once you complete your service. Texas Veterans Loans has a number of requirements that must be met to ensure your eligibility, including military activity, credit score, financial requirements. Additionally, there are certain requirements concerning the house you will be purchasing.
Military spouses are also eligible for a Texas Veteran’s Loan. Surviving military spouses must apply for a certificate of eligibility from the Veteran’s Affairs. There are certain requirements that must be met to get this certificate of eligibility. For example, you cannot be currently married. This does not mean that you cannot remarry after the death of your spouse. If you have remarried after the death of your military spouse, the marriage must end in either death or divorce to qualify as a military spouse and be eligible for a Texas Veterans Loan.
When applying for a loan, your debt to income (DTI) ratio must fall within the guidelines set forth by the lender. A DTI takes your current gross income and subtracts off all of your debt payments. This results in a debt to income (DTI) ratio. The VA’s DTI must not exceed 41 percent of your gross monthly income. If you have a higher DTI, don’t lose hope. There are certain situations that will allow for a higher DTI. Speak with your lender to see their eligibility requirement. The lender may also make suggestions to help you lower your debt to decrease your DTI so that you can be approved for a Texas Veteran’s Loan.