Veteran Loan: Does Marriage Impact Mortgage and Rates?

As Veterans begin taking initial steps in the direction of house hunting and home ownership, they should also keep in mind the impact their marital status may have on loan qualifications and Veteran mortgage loans. If you’re a Veteran or an active service member of the United States Armed Forces, your years of service qualify you for special loan opportunities and lowered interest rates, and if you’re married to your partner they will also be privy to those same benefits! That’s the good news. However, if you remain unmarried, your partner is only able to access those same benefits if they are also a Veteran or US Armed Forces service member.

Veteran loans, or VA loans, are a special type of home loan that allow Veterans to purchase a home with more favorable terms and lower interest rates than what is generally available on the market. These loans are guaranteed by the Department of Veterans Affairs (VA) and can be used in a variety of circumstances, anything from buying, to building, or even refinancing a home. A married Veteran couple can combine their VA Home Loan Guarantee eligibility and make a joint purchase at an even lower rate, whether it’s a VA loan for land, a VA loan for new construction, or a VA loan to build a house.

So, if your partner is a Veteran or Armed Forces servicemember, being married provides more benefits than remaining unmarried. For example, if you and your partner are both Veterans or have worked with the armed forces, marriage makes it possible to combine your VA home loan eligibility, pool your resources, and purchase a larger or more expensive home with VA loans for mortgages than you would have been able to afford prior to marriage. 

In addition, Veterans' spouses are likely to be entitled to a number of other VA benefits such as health care and disability. Check out the VA home loan requirements here, for a more in-depth analysis of whether or not you and your spouse qualify.

However, if your partner is not a servicemember or Veteran, they are unable to join you in borrowing on the loan… unless you’re married! If you’ve considered the benefits of marriage before, besides the great party with all your friends and family, gifts from the registry, and the honeymoon, add “better loans and mortgage rates” to the long list of benefits married couples get to enjoy.

Veteran home loans are only issued to qualifying Veterans, current members of the US Armed Forces, and their spouses.

We explain possible Veteran loan co-borrowing situations below:

  • Co-borrowers on a loan include a Veteran and non-Veteran spouse.

  • Two married Veterans in which only one Veteran uses their entitlement.

  • Two married Veterans and both use their entitlement.

  • Two unmarried Veterans and both use their entitlement.

Like Mike and Donna explain in our ‘Mortgage Minute’ video, it’s a great idea to get married to access all Veterans benefits… Or don’t! Your choice.

If you are a Veteran, you can access Veteran home loans here.

The journey to buying a home begins with experienced and trusted real estate agents. Denovo Realty is one of Space Coast’s top trusted real estate agencies. Reach out to get in touch with one of our local experts for help finding your dream home.

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