Debunking 5 Myths About VA Home Loans

Read the top myths about VA home loans and learn the truth behind them so that you can make the best decision on whether or not a VA home loan is the right option for your specific requirements.
Oct 20, 2021

The popularity of VA loans has soared in recent years, surpassing the 1 million mark in 2020, and is on pace to break that record in 2021. But despite the success of the VA home loan program, there is still some skepticism among prospective homebuyers when it comes to VA loans.

Read the top myths about VA home loans and learn the truth behind them so that you can make the best decision on whether or not a VA home loan is the right option for your specific requirements.  

Myth 1: Certification is a cumbersome process

The first step in the VA home loan application process is getting an official verification from the VA Office. This certification will assert that the veteran, active-duty military member, or spouse has met the basic eligibility requirements.

In the past, this took a long time to complete since you had to mail a letter to the VA and wait for a hard copy when they replied. Now, the process is done electronically which means you can get results in real-time.

Myth 2: VA appraisals and inspections take ages to finish due to red tape

One of the reasons why VA loans take longer is the smaller number of appraisers in rural areas who are approved to handle VA loans. However, the VA has upped its game by modernizing and streamlining processes.

Today, VA loans close within 55 days on average but there are cases where they close more quickly.

Myth 3: There is a huge chance that you’ll default

VA loans have more relaxed requirements compared to conventional loans. But even with less stringent requirements, VA borrowers rarely default. Furthermore, VA loans are known to have the lowest foreclosure rates when compared to other loan programs!

Myth 4: Sellers are wary about accepting a VA loan buyer’s offer

There are home sellers who believe that they will be required to pay the buyer’s closing fees. This is not true. Typically, the only seller requirement is payment for a termite report and that’s it.

Closing costs are the buyer’s responsibility and not the seller's.

Myth 5: The savings you get on a VA home loan aren’t as good when compared to conventional loans

False. VA loans are half a point below conventional rates and you don’t have to pay for mortgage insurance.

Need More Information on Your VA Home Loan Application?

Now that we’ve addressed VA home loan myths, you can now gain access to all the great benefits a VA loan provides. If you have more questions, you can ask our VA home loan experts and they would be happy to clear things out with you.

 

Home Loans Network is a marketing and mortgage education platform operated independently and is Powered by Morty (NMLS #1429243). Home Loans Network does not make mortgage loan commitments or fund loans. All mortgage products, approvals, rates, and terms are issued, underwritten, and finalized through Morty and/or Morty’s licensed lending partners.

Information provided on this website is for educational and informational purposes only and should not be considered legal, financial, or mortgage advice. Mortgage guidelines, interest rates, eligibility requirements, and program availability may change at any time without notice.


Submitting an inquiry, completing a form, or requesting information on this website does not constitute a loan application, pre-qualification, or pre-approval. You will only be considered an applicant when you complete a formal mortgage application through Morty or one of its licensed lending partners, subject to their verification processes, credit review, underwriting, and approval.


Home Loans Network and its representatives strive for accuracy but make no guarantees regarding the completeness or reliability of the information provided. All borrowers should verify details directly with Morty or a licensed mortgage professional before making any financial decisions.


By using this website, you acknowledge and agree that Home Loans Network is not a lender, does not provide binding loan offers, and is not responsible for final lending decisions. All loans are subject to credit approval, property eligibility, program guidelines, and applicable federal and state regulations.