What must prospective borrowers sign to confirm they will occupy the property in a VA loan?

What must prospective borrowers sign to confirm they will occupy the property in a VA loan?

• A. A purchase agreement
• B. A document of intention
• C. A statement of occupancy
• D. A document stating occupation

Answer: (D)

In the context of a VA loan, prospective borrowers are required to sign a document that specifically confirms their intention to occupy the property. This requirement is designed to ensure that the benefits of the VA loan program are utilized for the purpose of providing housing to veterans and active-duty service members. The terminology might differ, but the essence of the document is to affirm the borrower's commitment to live in the home as their primary residence. This distinction is vital as VA loans are contingent upon the borrower using the property as their primary domicile, which aligns with the mission of supporting veterans in achieving homeownership. By signing such a document, borrowers legally affirm their intention, which is a necessary step in the lending process for VA loans. The other options do not accurately describe the specific document required; while they may include terms related to occupation or agreements, they do not encapsulate the specific requirement laid out for VA loan borrowers.

In the context of a VA loan, prospective borrowers are required to sign a document that specifically confirms their intention to occupy the property. This requirement is designed to ensure that the benefits of the VA loan program are utilized for the purpose of providing housing to veterans and active-duty service members. The terminology might differ, but the essence of the document is to affirm the borrower's commitment to live in the home as their primary residence.

This distinction is vital as VA loans are contingent upon the borrower using the property as their primary domicile, which aligns with the mission of supporting veterans in achieving homeownership. By signing such a document, borrowers legally affirm their intention, which is a necessary step in the lending process for VA loans.

The other options do not accurately describe the specific document required; while they may include terms related to occupation or agreements, they do not encapsulate the specific requirement laid out for VA loan borrowers.