It only takes a bit of digging to realize that VA loans are a great option for U.S. veterans and active-duty members looking to buy a home. But before committing to a VA loan, it’s important to leave no questions unanswered. Quicken Loans did a VA loan Q&A Google Hangout with the Department of Veterans Affairs, Military.com and other professionals, to clear up questions and misconceptions about VA loans.
Q: Can a VA Loan be Used for New Construction?
A: John Bell of the Department of Veterans Affairs explained that veterans with a VA loan do have the ability to use it with new construction, and that the VA certainly does have that authority. The only issues he’s seen have occurred with the lender and the programs they have available. Margo Willis of the National Association of Realtors says that she sees a lot of new construction in her area, and that she sees veterans take advantage of their VA loan to move into a brand new home with no problems. Custom-built homes, however, can prove to be an obstacle depending on your lender. Bell chimed back in to explain that it also depends on whether you get your financing upfront, or if you build before being approved.
Watch the full video below!
Check out some of our other VA loan Q&A posts!
- What is a VA Loan?
- The Pros and Cons of VA Loans
- Are There Fees the Seller Has to Pay?
- Myths Surrounding VA Loans