POST TAGSLoan Programs
Blog posted On January 05, 2023
Your VA Loan can do a lot more than help you buy a home. If you’re finding it hard to sell in the current market, you might want to remember that VA Loans are assumable. By letting buyers know that they can assume your VA Loan, you could sell faster and for a higher price.
What is an assumable loan?
When a loan is assumable, it means that a home buyer can take over its terms. They will have the same loan, same mortgage payment, and same interest rate. This can be a HUGE benefit for home buyers, especially if the seller has a great interest rate. VA Loans in general are very attractive for home buyers due to their lenient requirements, 0% down payments, and oftentimes more beneficial rates. So if you or your real estate agent can use this as a ‘selling point’ for buyers, you could be in a great position to sell faster and earn more.
Who can assume my VA Loan?
Anyone can assume your VA loan. The person taking over the loan does not have to meet the same military requirements as the original borrower. In other words – you don’t have to limit your buyer pool to military-only. Any home buyer can take over your loan! This is another great benefit of assumable loans. However, they will have to be approved by the lender in order to assume the loan.
How to sell/assume a VA Loan
If you’re trying to sell your home and transfer your VA Loan, talk to us first. If you’re looking to find an assumable VA Loan with a home purchase, start with your real estate agent. They will be able to help you find sellers who will let you assume their VA Loan. They also have access to the multiple listing service, or MLS, which is a great resource for finding available homes/VA sellers. Sellers can also ask their real estate agent if they can advertise their VA Loan on the MLS.
Curious about VA Loans and their benefits? Check out our VA Loan page with all the benefits and details.