Veterans are an essential part of protecting the American dream, and they deserve to enjoy the full benefits of prosperity and security it promises. For many Americans, owning a home is a major part of that dream. So, it's not surprising that veterans are emotionally and financially invested in homeownership.
The process of finding and buying a home can be challenging for everyone, but veterans might face unique issues when purchasing a home. Knowing these challenges is the first step to avoiding common mistakes.
Many veterans might be eligible for a home loan through the Veterans Affairs Department (VA). However, the VA has its own very specific home loan process that requires an agent with a very specific expertise in navigating it.
In a home-buying guide for veterans, Realtor.com emphasized the idea that the VA won't underwrite every home loan application. You'll need an agent who can help you find homes that meet the VA's property requirements, as well as provide insights into VA loan limits, debt-to-income ratios, and other essential qualification criteria.
Sure, getting a VA loan can make purchasing a home easier for veterans, but it doesn't change the fact that even the most decorated hero must pay their mortgage on time. It can be tempting to snap up the biggest, most modern-looking home on the block. But if it's too big for you or your family to fully enjoy, you're essentially wasting your money.
You should also ensure that your home's payments will remain manageable, even if you should run into unexpected financial setbacks. You don't want to end up "house poor" just because you wanted a home that dazzles on the outside.
In the Realtor.com article, writer Angela Colley reminds veterans that, despite the financial advantages of a VA loan, they will still have to contend with other borrowing costs. Active-duty members, in particular, may forget about or be unaware of the other closing costs that come with buying a home, such as home appraisals and inspections.
Some military members may be tempted to skip the inspections to save money. However, this can cost them a lot more in the long run, especially if they end up with a home that has significant structural issues or expensive maintenance needs.
As a realtor specializing in work with military members, Dawn Stroud knows what veterans should absolutely avoid when looking for a home. In a LinkedIn post, she shared a list of mistakes veterans need to watch out for. At the top of her list? Failing to research local markets.
"Every housing market is unique, and prices can vary significantly from one location to another. Failing to research the local real estate market can lead to overpaying for a property or missing out on a great deal," she wrote. "Consult with a knowledgeable local real estate agent who understands the area and can guide you effectively."
Stroud is aware that many service members are trained to make quick decisions, sometimes with life-or-death consequences. While that ability to think fast serves them well in those circumstances, veterans may forget that the housing market isn't the battlefield. They have time to breathe and be choosy.
"Take the time to thoroughly evaluate properties, conduct due diligence, and consider all aspects before making an offer," she wrote.
Remember, your home will ideally be the place you'll stay and potentially raise a family for many years. You want to make sure it's safe, comfortable, and suits your needs. That's not the kind of decision you can rush. And if you've served the nation, you deserve nothing less than the best.