KEYWORDS:What Credit Score Is Needed To Buy A House With A VA Loan
VA guidelines allows a borrower with a credit score of 500 to buy a home with only a 0% down payment. VA guidelines allows a borrower with a minimum credit score of 500 to buy a home using their own funds for closing cost or the closing costs funds can be a gift from a family member.
FHA guidelines allows a home buyer with a minimum credit score of 500 up to a 6% seller's concession. The seller's concession must be written into the sales contract.
2016 VA guidelines requires a minimum credit score of 500 for all loans.
Home buyers with a credit score below 580 are not required to make a down payment. VA allows you be buy a house with a credit score of 500.
The maximum VA loan guarantee varies by county. As of 1 January 2016, the maximum VA loan amount with no down payment is $625,500, although this amount may rise to as much as $1,094,625 in certain specified high-cost counties. VA also allows the seller to pay all of the veteran's closing costs as long as the costs do not exceed 4% of the sales price of the home.
What documentation will I need?
• Personal tax returns for the past 2 years
• Current pay stubs for the past month
• Bank statements for last 2 months (all pages)
• Latest retirement statement for each active account (all pages)
• Sales contract (purchase)
• Clear copy of Driver’s License (front and back)
• Clear copy of SS card (front and back)
• Addresses and loan information of other real estate owned (if any)
What Credit Score Is Needed To Buy A House With A VA Loan 500.
The U.S. Department of Veterans Affairs is not a direct lender. The loan is made through a private lender and partially guaranteed by the VA, as long as guidelines are met.