It can be very frustrating that, after all your efforts, your loan application was declined. After knowing the result, you might have wondered why it was denied. There are various reasons why VA loans are approved. 

Please understand the process better to get a positive result next time. This piece will discuss why applicants do not get their VA loans approved, so take this time to study this article. 

Application Errors 

One of the main reasons why military members have their VA loans denied is because of the mistakes they have made while filling out the application. Pay attention to everything you write to avoid loan denial due to application errors.  

You must be aware of all the details in your financial history. The littlest mistake will not only delay your application process but will also get your loan denied. 

To avoid application errors, you should take the time to check every detail twice, proofread your documents, and make sure you fill out the form carefully. The most common reason military members’ loan applications are denied the incorrect social security number. The number should be accurate.

Another common reason is that your credit score is below the requirement. The score varies depending on the lender, so check the credit requirements first if you want to apply for the loan. Ensure that the information is accurate to avoid misapplication.

Changes to Your Credit Score

Checking and monitoring your credit score is very important because the credit score is one of the factors lenders will consider when evaluating your loan application.

There are many ways to check your credit score. Lenders can check your credit score through Equifax, TransUnion, and Experian. However, there is also a free way to get a copy of your credit score from MyFICO.com. 

This reporting agency is the most popular because it is fast and gives instant results. Checking your credit score will help you know your score and the actions you need to take to improve it.  

You will be able to find out how fast you can get your report and whether you should request a full or a free copy. Once you ask for a copy, you will also be alerted when approved for a loan.

Issues with Your Property

Another common reason for loan denial issues with the house or property. It must be free from any defect or problem, especially structural, plumbing, or electrical issues. You may be required to have a home inspection before you apply for the loan.  

The house must also have no code violations. Before applying for the loan, check your property to ensure that it does not have any issues that could lead to loan denial.

Conclusion

The reasons listed above are just some of why you could get denied. You can avoid your loan application being rejected if you provide complete and accurate information, including the required documents. 

Many factors affect the loan approval process. To avoid delays, get your work done the first time accurately. It is best to get help if you do not understand what you are doing. Ask your lender or a financial advisor to help you.

In addition, you can empower yourself by educating yourself and getting more information about the whole process. Learn more about the loan requirements, the lender’s requirements, and the home inspection before starting the application process.

If you need help in filing for a loan, get in touch with Clayson Mortgage. We offer VA loans and mortgages with flexible rates. Contact us now for more information!