Guest Post: A Veteran’s Guide to Saving on Your Home Purchase

**The following blog article is a guest post from Reviews.com summarizing a much more detailed article on the topic of home buying for Veterans.**

Home buying is a complex process to navigate for anyone. But for those who served, it can prove to be even more confusing when VA Loans, non-allowable fees, and other discounts come into play. Reviews.com has everything you need to know to maximize your savings as you hunt for home-sweet-home.

Save with a VA Loan

It may seem obvious, but surveys show that a third of veterans were unaware of the VA loan program. Advantages to this program include no required down payment, no PMI, and better mortgage rates. Experts suggest veterans look into this loan option even if they’re unsure if they’re qualified. You’ll need to follow these steps:

Keep in mind that there is additional assistance available for specific groups of veterans.

For Native Americans, the Native American Direct Loan (NADL) can extend the VA loan to Federal Trust Land.

For disabled veterans, the Specially Adapted Housing Grant (SAH) can fund changes to a home to accommodate a disability. There is also the Special Housing Adaptation Grant (SHA) option, which can help pay costs associated with accessible housing.

Veteran-exempt Fees

If you’re using the VA loan for your home, be aware that you are not allowed to pay these loan fees:

  • Attorney fees
  • Brokerage fees
  • Prepayment penalties
  • HUD/FHA inspection fees for builders

Your lender’s fee covers many fees and expenses with the VA loan, including:

  • Lender appraisals
  • Lender inspections
  • Closing or settlement fees (VA closing costs are limited)
  • Application and processing fees
  • Document preparation
  • Escrow fees
  • Tax service fees

Save on Home Services

Home Insurance: Many providers publicly offer military discounts, and some providers like USAA are military-specific. Don’t hesitate to inquire about discounts, those who served deserve them. You may also be able to compound your home insurance savings if you install a home security system, or you may be able to get a discounted system if you use certain insurance providers.

Home Warranty: While there are few public discounts on home warranties, this is an item you may be able to negotiate over when you close on your house. Many sellers will cover the cost of a warranty as part of your terms.

Keep an eye out for savings on other home improvement and homeware retailers, like Pier 1, Pottery Barn, and Lowe’s, who offer military discounts to customers.

 

**This article was sourced from Reviews.com, a team dedicated to matching readers with the best services for their needs. The Reviews.com team takes an exhaustive approach to their research, analyzing scientific studies, lab results, historical trends, and user experiences to find you the very best.**


 

If you have any questions or would like to learn more about developing strategies to pursue a prosperous and safe future, contact me today at Derek.Merkler@Parsonex.com! You can also visit my websiteto learn about how I help our service members and veterans plan for and achieve financial independence.

My blog discusses a myriad of financial topics and challenges, book reviews, and commentary on current events in the financial world to benefit our military and veteran community.  I attempt to be as thorough as possible when examining each subject but can never account for every possible scenario.  Please remember to consult with your advisers for advice on your particular situation.  Thank you for reading!

Advisory Services offered through Parsonex Advisory Services, Inc. 8310 S. Valley Highway, Ste. 110, Englewood, CO 80112 (303) 662-8700.

 

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