Returning veterans are one of the most highly active group of people when it comes to finances. Despite starting fewer businesses and taking fewer loans, Veterans Magazine notes that those in the veteran community are still big borrowers. Subsidies from the VA and veterans’ relative lack of spending during tours contribute to being safe borrowers. Change is on the horizon, however, across the entire veteran community, and that starts in home buying. Here are some great topics related to veteran financing either for their personal life or business career.
Leading the Charge
2021’s property market has been incredibly hot, yet that hasn’t deterred veteran families. The primary benefit offered to veterans is the VA mortgage, a federally-backed loan that helps them to secure housing for a cheaper sum than might otherwise be available.
There has been a surge in house buying from veterans – especially younger families, according to CNBC. The ability to dodge a down payment has helped them to secure these large assets with a good lending history to support it. That’s also helping veterans to build real estate networks and provide housing to others in the rental and voluntary markets.
Veterans are somewhat notorious for charging into poor-quality lending arrangements – typically on vehicles obtained after their first pay packets come in. This is a huge focus of the VA Financial Literacy program and the results are telling.
Research conducted by the Census Bureau shows that veteran bankruptcy is on a downward trend. That’ll come with an uptick in reliability when it comes to investing in veteran finances. Given the vulnerabilities that veterans often experience during their transition to civilian life, this can only be a good thing.
Another topic to note related to veteran financing is veteran business openings. Veterans are opening fewer businesses, but they’re having a bigger impact than ever before. Military.com estimates that veteran-owned businesses pour at least $1 trillion into the US economy every year. These business are a safe bet when we compare them to other businesses outside of the veteran community. They make a safe bet for investment for entrepreneurs and venture capitalists for that reason. Although, the pickings are more slim than they have been in recent years.
Veteran Financing – Summary
Veterans are becoming an increasingly influential and positive investor base. In housing, risk and businesses they are setting an example for responsible lending. Through this, they have become a prime candidate for good, high-quality investments, as are the markets they are directly involved in.