Military veterans can now get the benefits of a no-down VA loan when purchasing a home that needs rehabilitation to meet the standards of the Department of Veterans Affairs.
Guidelines were recently released for VA-guaranteed alteration and repair loans for new purchases and refinances of eligible properties.
To be eligible, the property must appraise for the purchase price plus the improvements to be completed after the loan closes. Fees, permits, inspections, and a contingency reserve can also be included in the loan.
Citing aging housing stock in the U.S. that needs rehabilitation, the VA touts these changes as a way to allow veterans to more easily use the benefit they’ve earned.