Divorce is a difficult transition and can have far-reaching effects on one's finances. It is important for veterans to understand how a VA loan may be affected by a divorce and to take the necessary steps to protect their financial interests.Verify my mortgage eligibility (Dec 10th, 2023)
When a veteran gets divorced, it is important to understand the potential implications of a VA loan. The VA loan is a unique type of loan that is available to veterans and service members, and is guaranteed by the Department of Veterans Affairs.
In the event of a divorce, the veteran may be able to retain their VA loan, depending on the terms of the divorce settlement. Typically, the veteran will be able to keep the loan and the house if they are able to make the payments. However, if the veteran is not able to make the payments, then the non-veteran spouse may need to assume the loan or the loan may need to be refinanced in order to separate the liability.
If the non-veteran spouse is assuming the loan, they will need to meet the VA eligibility requirements, which include income and creditworthiness. If the non-veteran spouse is unable to meet these requirements, then they will need to refinance the loan in order to remove the veteran’s name from the loan.Verify my mortgage eligibility (Dec 10th, 2023)
It is important to note that the VA does not provide any special considerations for veterans who are going through a divorce. The veteran and the non-veteran spouse are both responsible for the loan and the payments. If the veteran is having trouble making the payments, they should contact the VA to discuss their options.
Give us a call us today at 949-243-7900 to determine your VA Loan eligibility and start you on the path to owning your own home. We are a veteran focused company, participate in veteran-run non-profit organizations aiming to help some of our finest secure their homes via VA loans, and strive to educate all of our veteran clients as well as real estate agents on the benefits of a VA Home Loan. We are proud to have helped thousands of veterans navigate the home buying process.Show me today's rates (Dec 10th, 2023)