Numerous cities in America offer a high quality of life, but sometimes those cities are not always the most affordable for veterans looking to utilize their VA home loan benefit.
In June 2022, about 15% of homes under contract fell through due to rising rates that made closing on a home unachievable. The current mortgage rate and home price atmosphere has made home affordability the top priority for many prospective homebuyers. Fortunately, Veterans and service members have a unique advantage due to their VA loan eligibility. The VA home loan program requires no down payment and often offers lower interest rates than other loan products.
Mortgage rates on VA loans are at least 0.15% lower compared to other products – even a quarter or half a point drop in mortgage interest can help save thousands every year.
Currently, inventory is about 26% higher than last year, pushing home prices lower from their all-time highs. As the housing market continues to see a drop in cash offers and bidding wars, buyers will have more options and flexibility. Keeping the current transitions in the housing market in mind, here are the top ten most and least affordable places for Veteran buyers as of June.
Rankings are based on factors such as veteran population size, home prices and income. Veterans United Home Loans compared affordability data from the National Association of Homebuilders (NAHB) Q1 2022 Fair Housing Opportunity Index with U.S. Census Bureau veteran population statistics.
The places on this list are not only affordable, but they also offer a rich culture and history with tons of attractions to enjoy. Use our affordability calculator to estimate your loan pre-approval amount based on your income and expenses.
Like this list? Check out the Best Cities for Veterans to Live
Buying a condominium with you VA home loan benefit is a great option. However, there are additional requirements that differ from purchasing a single-family residence or a multiunit complex.
Credit score requirements vary by lender. However, most lenders have similar criteria. Let's look at the minimum credit score for a VA loan and what lenders typically expect.