VA Loan Programs In Hawaii
Veteran Affairs loans are a $0 down financing option for U.S. military veterans, active duty service members, and select spouses of military personnel. Although these loans are guaranteed by the Department of Veterans Affairs, they are issued by private institutions such as banks and other private lending firms.
The U.S. government created the VA home loan program in 1944 to aid WW2 veterans returning from overseas to purchase a home without the need to provide a down payment or have excellent credit. The program has helped over 25 million military families, active-duty personnel, and U.S. veterans refinance or purchase a home.
In the wake of the current recession and covid-19 pandemic, veterans and their families are finding an increased level of difficulty to get approved to finance a home. As a result, the VA mortgage program has acted as a lifeline for military service members and veteran homebuyers looking to obtain financing.
The process of applying for a VA Loan in Hawaii can be overwhelming for some, VA loan specialists like Eli are here to help. Elias is an expert at helping service members both past and present get the most out of their VA home loan benefit. To learn what an Oahu VA mortgage officer can do for you contact Eli today.
Hawaii VA Purchase Loan
Eligible military veterans and active-duty personnel can take advantage of the VA Purchase Loan to buy a home on Oahu without the need for a down payment. In addition to traditional single-family homes, this loan can also be used to finance manufactured homes, multiunit properties such as duplexes, condos, and new construction.
Depending on location and lender guidelines and policies may vary. For more information about local VA Loan policies and restrictions contact us today.
VA EEM Loan
The EEM or Energy Efficiency Mortgage provides veterans an opportunity to cover some of the cost of energy efficiency improvements to their home. This can be done as part of a VA home mortgage refinance option or with a veteran home purchase loan.
Eligible veterans are able to finance an additional $6,000 to pay for improvements that qualify. Examples of qualifying improvements include but are not limited to, solar cooling systems and energy-efficient thermal windows. Contact Elias today for more information about the VA Energy Efficient Mortgage on Oahu.
Qualified veteran homeowners are able to use the VA Cash-Out Refinance program to borrow cash from their property’s equity. Eligible homeowners are generally able to refinance around 90% of the value of their homes. Oahu homeowners that qualify can use this Hawaii VA refinance program with or without a current VA Loan.
Lender requirements and guidelines can vary depending on factors such as location, lending institution, and type of property. Furthermore, there is not a requirement to borrow cash with this loan, meaning that veterans and service members that have a non-VA mortgage are able to do a basic rate-and-term refinance with this option.
The second option for the veteran affairs loan programs used for refinancing a home is the VA Interest Rate Reduction Refinance Loan. This option is the most commonly chosen loan program for veteran and service member homeowners.
Also called VA Streamlines, they are uncomplicated, low-cost loans for refinancing a home. Depending on the circumstances this loan may not require an appraisal, verification of income, or credit underwriting.
Finally, the VA IRRRL is specifically designed for homeowners that already have a current VA Loan. By reducing the old rate to a new reduced rate, this VA mortgage refinance program can help veterans reduce the immediate cost of owning a home. Call Elias, Honolulu VA Loan Officer, to learn more about Oahu VA mortgage refinance options and how they can benefit you.
Veterans Affairs Loan Eligibility
Eligibility for the VA Loan Program is determined by the service requirements created by the U.S. Department of Veterans Affairs. Service members, veterans, and military spouses are required to meet one or more of the requirements listed below:
- Veteran or service member with 6 years or more in the Reserves or National Guard.
- Veteran or service member with 90 days of consecutive active wartime service.
- Veteran or service member with active service totaling 181 days during peacetime.
- A spouse of a deceased service member that passed away due to a service-related disability or lost their life in the line of duty.
In addition to minimum service requirements, to qualify for the VA Home Loan Program in Hawaii veterans must obtain a valid Certificat of Eligibility or COE for short. As a final note members applying for a VA home loan in Hawaii need to satisfy the income and credit requirements of the lending institution financing the home loan.
Service members or veterans that do not meet the listed minimum requirements may still have a chance of being eligible. Examples of this occurring are dependent on discharge type. See the list below for additional reasons a veteran may still be eligible for a VA home loan.
- Discharge was due to hardship, due to a force reduction, or due to the discharge being convenience of the U.S. government.
- Discharge was due to a medical condition or due to disability that is service-connected.
- Received an early-out discharge and served a minimum of 21 months during a two-year enlistment.