A look at the advantages of using a VA loan to purchase your home as well as what type of homes qualify and a few potential drawbacks.

1. Buying Your Home With a VA Loan
thelasvegasluxuryhomepro.com/buying-home-va-loan/
There are advantages f or those who buy their home with a VA Mortgage. The most popular is it
allows buyers to purchase with Zero down. This conserves your cash f or expenses like moving or
f urnishing your new home. Other advantages include more relaxed credit score criteria and f avorable
interest rates.
The Pros of VA Loans have been outlined in these
articles:
“What Are the Best 12 Reasons f or Choosing a VA Loan? ” by
Rosemary Rugnetta includes many advantages a VA mortgage can
of f er. One of our f avorites is tenth on list. VA Home Loans can
be assumable. Today’s low interest rates could make this a
valuable marketing tool in another 5 to 10 years. Interest rates are
likely to be higher by then.
“Lesser Known Facts About VA Loans” by Inlanta Mortgage provides
inf o on who may qualif y f or a VA loan. Spouses who lost their mate
while they were serving can qualif y. Those who have served in the
National Guard or the Reserves can qualif y. Inlanta Mortgage’s
”100% VA Ref inance Loan: The Little Known Advantage of VA
Mortgages” points out that VA loans can be re-vied at 100% Loan to
Value.
The f irst step is getting pre-approved f or your loan. This will conf irm that you qualif y f or VA
f inancing and how much home you can af f ord. Anita Clark takes us through the process in “VA Loan
Pre-Approval Process”. As the article points out, the minimum credit score f or a VA loan is now 620.
Another great reason for using a VA loan.
Once you have the pre-approval it’s time to look at homes.
Not all homes will qualify for a VA loan. First, you can only use VA f inancing f or your primary
residence. If you’re purchasing an investment property we’ll have to arrange conventional f inancing.
Single f amily homes are ideal f or VA f inancing but they have to be in good condition. VA loans are
designed to help our military secure suitable housing. This does not include a home that’s in need of
major repairs or a f ixer upper.
Some condos can be f inanced with a VA loan and some can’t. In order f or a condo to qualif y the
entire complex has to be VA approved. Too many tenants or litigation will cost the condominium the
VA approval.
Las Vegas is home to both Nellis and Creech Air

2. D R Horton is known for beautiful kitchens
D R Horton also features beautiful master baths
Las Vegas is home to both Nellis and Creech Air
Force Bases. We’ve been f ortunate to work
with many of our troops who are stationed at
both bases. The warm sunny climate also
attracts a lot of retired vets. The most
common f inancing our military clients use is the
traditional “zero down” VA loan.
This has been challenging over the last f ew
years. As of today, we have 8995 homes listed
f or sale. Only 3905 of those listings list VA
under the “f inancing considered” option. If we
exclude condos and town homes, we have 6644
single f amily homes available. Only 3357 of
those single f amily homes are considering VA
f inancing.
Less than 1% of the homes sold in the Greater Las Vegas MLS over the past year closed
with a VA Mortgage.
Why do sellers try to avoid VA loans? One of the f irst objections to a VA loan is they take slightly
longer to close escrow. Most loans can close in 30 days or less. VA loans can take up to 45 days.
The biggest obstacle we’ve had with VA
f inancing over recent years has to do with
appraisals. VA appraisers have to abide by
strict guidelines. Appraisers of ten give as much
value to a f oreclosed property that needs
landscaping, appliances, paint, etc., as they give
to a home that’s in excellent, move in condition.
The appraisal issue is especially challenging
when a buyer is trying to buy a home that has
multiple of f ers. Sellers who are concerned that
low comps will drag their appraisal down may
not want to consider buyers using a VA loan. As
we outlined in “Tips For Dealing With a Low
Appraisal”, there are ways to overcome this
obstacle.
VA Financing and New Construction Homes
One of the best solutions we have f ound f or VA
buyers is new construction homes. Most Las Vegas’ New Home Builders welcome our Veterans.
Many are happy to work with VA loans and some have special incentives f or Veterans/Active Military.
Not all builders of f er “special” incentives just f or Veterans. The incentives home builders do of f er
are subject to change.
A f ew current incentives include:
Lennar Homes of f ers “awesome low rates

3. Energy efficient Resort Living in a 55+ Community at Shea
Homes Ardiente
Lennar Homes of f ers “awesome low rates
through June with their pref erred lender. UAMC
3.375% (4.8% APR) FHA and VA loans. Plus VA
puts Zero down, no mortgage insurance and no
charge f or doc prep,” @LennarLasVegas on
twitter.
D R Horton currently of f ers 3% towards
closing costs f or VA buyers who use one of
their two pref erred lenders. Their pref erred
lenders includes USAA.
Shea Homes Ardiente community f or the 55+
buyers, has one of our f avorite programs f or
the military buyer. Shea will give $5000 in options to cash buyers or any buyer who f inances through
their lender. Af ter the $5000 incentive, they of f er a military incentive. Any additional options selected
by someone who has been in the Military or who has a child active in the service, will receive an
additional 10% of f options up to $10,000. We love that they acknowledge the retired vets and those
who have children who serve in the military. This is a beautif ul guard-gated, 55+ community with
great amenities.
Buying with a VA Mortgage? You should carefully consider is it best to buy a new
home or a resale home?
In addition to special incentives f or the military, many builders of f er assistance with closing costs,
appliance packages, etc. These incentives on new homes make them competitive with resale homes.
And with a new home, you will not have to worry about multiple of f er situations or competing with
cash buyers. Appraisal problems aren’t as likely with a new home. The new home builders generally
have a tract record with recently closed homes and comps in the resale market. They’re in a better
position to gauge where a home might appraise than the seller down the street who is convinced
their home is the nicest in the neighborhood and an appraiser will give it $100K more than similar
homes just because…
Check out Lennar’s Lantern Gardens Community -
Debbie Drummond has over ten years experience in the Las Vegas Real Estate Market. She
specializes in luxury homes and high rise properties. If you’re buying or selling a Las Vegas home,
call (702)354-6900 or email Debbie@LVHomePro.com. We’ll be happy to assist you in your move.