US veterans will now have a shot at buying an affordable home through the help of the Department of Veterans Affairs (VA). Honorably discharged veterans, active-duty personnel, and surviving spouses can benefit from the VA mortgage guarantee program, which allows them to buy a home without paying for the down payment.

It also offers qualified veterans up to 100 percent financing and ensures a 30-year fixed rate of 6.5 percent without any extra insurance some lenders force homebuyers into purchasing. These loans allow qualified homeowners to buy affordable mortgages. The VA will take care of funding the down payment for your home.

However, not all veterans will be qualified for this guarantee program. You have to meet certain eligibility rules provided by the VA. If you would like to qualify, you’d need to visit any of the few mortgage companies that are permitted to participate in the program and complete certain application forms like VA Form 26-1880 and proof of military service.

You can get VA Forms 26-1880 from the VA. Lenders can also issue these through an automated system that uses the internet to confirm your eligibility, called ACE (automated certificate of eligibility). The certificates can be released in a matter of minutes. Bear in mind though that the VA is not a lending agency, it only guarantees these home loans for veterans.

If you are a veteran who wants to know more about how you can qualify, there are Eligibility Centers that offer assistance. They also track those people who have already used their eligibility in full – this is because the program has been available since the 1940s, and veterans who previously used the guarantee program can still qualify upon meeting certain rules set by the VA Eligibility Centers.

Other eligible people are discharged veterans who incurred disabilities, active-duty personnel, and living spouses. It’s not all free though, because you’d still have to pay a 2.4 percent fee that will be rolled over to the mortgage itself.


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