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DetailsVA loans are a popular option for veteran and active-duty service home buyers for many reasons. They are also preferred by lenders because a portion of the loan is guaranteed through federal backing via the U.S. Department of Veterans Affairs.
That said, your lender will still need to check that certain financial requirements are met when determining whether or not to approve the loan, and one major factor is the home buyer’s credit score. Here we’ll take a look at the minimum requirements of that score and other contributing factors that may be able to help balance things out if the homebuyer is missing the mark.
For lenders, lower credit scores are a reflection of one’s financial trustworthiness. Simply put, they will be more hesitant to issue a loan for someone with poor credit. A score ranging from 300-579 is considered very poor according to FICO .
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