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Veterans and service personnel who are looking for the funds to improve, upgrade or repair their home should look no farther than a VA Home Improvement Loan. The terms and repayment period are hard to beat and to qualify a person needs only to prove they are a veteran or active service member.
What is so great about a VA Home Improvement Loan? The answer to that has several “parts”. The first part is that there are no limits as to what the funds can be used to repair or improve. If a bathroom is out of date, the loan can be used to renovate. If a wall should come down to make more living space, the loan can also be used to do that as well.
If I wanted to use the funds to build a garage is that permitted? Yes, a VA Home Improvement Loan restricts use of the funds only on luxury items. For instance, they would forbid the use of the funds for the purchase of a hot tub or swimming pool as these are not necessary home repairs or improvements.
The second part is that up to ninety percent of the equity in a veteran’s home can be borrowed against in a VA Home Improvement Loan. While some federal home improvement programs cap loans at twenty-five thousand dollars with a maximum of twenty years to repay, a VA Home Improvement Loan has no limit except the ninety percent rule. Additionally, if small repairs are required the program allows for veterans to borrow up to three thousand dollars without taking a mortgage against the property. This could be a real life saver if a furnace, hot water heater or other major appliance needed quick replacement.
The third part is that the interest rates on a VA Home Improvement Loan are incredibly low when compared to other options in the mortgage market. Beginning at five percent with fifteen year repayment periods, any VA Home Improvement Loan is going to provide a significantly better bargain than anything else currently available.
Where does a veteran find a VA Home Improvement Loan? While the Internet is always a reliable tool for locating almost anything needed, local banks and mortgage companies might also be able to direct a veteran to a VA Home Improvement Loan. Additionally there are many state Departments of Veterans Affairs that make all veterans loan programs easily accessible.