What Are VA foreclosed homes?

Also known as Veteran Administration Foreclosures, VA foreclosed homes are properties previously owned by a United States veteran who bought the property with a veteran's home loan. The Department of Veteran's Affairs (VA) guarantees these loans, and the VA is a branch of the federal government.

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Due to the nature of these types of loans, the federal government refunds all money lost against a VA loan. In order to fund this insurance, the federal government includes a fee (a percentage of the mortgage value) that is paid by the recipient of the VA loan.

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