There’s a persistent myth promulgated around the real estate community that an offer on a home done through a VA loan is “weak” in comparison to conventional offers. I’d like to present four points that demonstrate that this isn’t the case:
1. Income. The average household income for veterans is $73,000 per year, and that often comes from two income sources. A good number of them also receive VA benefits, disability, etc. All of this makes for a very dependable income.
2. Credit score. While it’s true that veterans have quite a bit more leniency with their score, don’t let this fool you—the average score for veterans is actually a 738!
3. Loan performance. This may be news to you, but VA loans perform better than any other loan in the country. Their default rate is at less than 2%, which ranks better than FHA and even conventional loans with 20% down. What’s more, lenders will not pass these loans up; they’re extremely good for their portfolio.
4. They’ve earned it. Providing veterans with 100% financing and all the benefits that come with a VA loan are just small ways we can repay them for the sacrifices they’ve laid forth in the service of our country. Let’s make sure they have every shot to buy a home with a VA offer.
For help with any and all of your lending needs, give me a call at (719) 231-4893. I’d love to assist you however I can!