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The Lighthouse Program and Home Loan Basics

The Lighthouse Program was created to provide counseling, home loans, and homeowner education to families whose income is low enough to qualify for government housing programs.

And on the other hand, their credit score prevents them from being approved by the banks and lenders that service those programs.

The Lighthouse Program is an accelerated homeownership option that can help you realize your dream of owning your own home faster than you thought possible. If you're struggling with your finances, you should consider it.

Below is everything you need to understand about the Lighthouse Program and home loan basics in general. Keep reading to find out more.

How Lighthouse Program Work with VA Loans

For many veterans and service members, buying a home with a VA Loan can be confusing, especially if they do not have experience in the real estate market or are unfamiliar with the loan process.

That's where the Lighthouse Program comes in. In this program, clients work with one of their partner agents who handles everything from identifying eligibility requirements to the transaction itself – all for no cost.

VA loans are a popular option for our veterans, their families, and services members, particularly those still on active duty looking to purchase a home.

Unfortunately, there's still quite a bit of confusion about what makes this loan so good for military members and veterans, as well as how to go about getting one. VA loans have unique underwriting guidelines that can make it difficult for many to qualify.

Luckily, through The Lighthouse Program, VA lenders have access to information from VA and FHA loan underwriters that helps streamline loan origination and qualification processes for our veterans.

Lighthouse Program specializes in helping veterans and service members take advantage of the benefits available to them from the VA Loan program, which includes no down payment requirements and a streamlined process that reduces the time it takes to qualify and close on the loan.

What to Expect from a Lighthouse Consultant

Purchasing your first property can be stressful, especially if you're unsure where to start.

The Department of Veterans Affairs (VA) loans can help veterans secure the funding they need to buy a house, but navigating this process can feel like an intimidating and frustrating task.

Fortunately, the Lighthouse Program exists to help veterans avoid some of the common mistakes they make while applying for VA loans.

They even guarantee that you'll close on time or pay no fees if the VA chooses not to fund your loan due to a lack of sufficient documentation.

The Lighthouse Program supports veterans and service members through the entire loan application process, from pre-approval to final closing.

Their objective is to help veterans and service members find their dream home without worrying about the stress of such an important financial decision.

To make the process of navigating VA loans easier, Lighthouse Program has set up an experienced team of specialists available to help qualified veterans and service members understand their options and choose the right VA loan type for their needs.

You'll work one-on-one with a professional Lighthouse consultant to develop a personalized plan to help you:

  • Pinpoint and correct mistakes on your credit report
  • Take concrete steps to boost your general credit profile.
  • Create goals and tactics to lessen debt

Happy couple holding new house keys and celebrating home purchase

What if You Have Little to No Credit?

Lenders consider credit scores as one of several factors when determining loan eligibility. If you have little to no credit or a low score, it could make your chances of obtaining a VA loan less likely. That's where Lighthouse can help.

This program is designed to provide you with free services to help overcome obstacles like lower credit scores that prevent you from achieving your homeownership goals.

Research shows nearly 90 percent of Americans have some form of credit—good or bad. But if you're part of that minority with little or no credit history, it doesn't mean you can't partake in the VA Loan Guaranty program.

However, policies and requirements vary by the lender, and most lenders require you to have at least one FICO score to move forward. Others want to see at least three active tradelines or credit accounts.

If your credit record is too thin, lenders may check more nontraditional credit histories (tradelines) to determine your creditworthiness.

These alternative tradelines may include but aren't limited to:

  • Cell Phone or cable bills
  • PO Box payments
  • Tenant’s or car insurance
  • DVD or online streaming services
  • Allotments emerging on your Leave & Earnings Statement (LES)

Home Loan Basics

Home loans can seem overwhelming, with all the details and regulations involved in getting one, but they're pretty simple once you get the basics down.

Here's everything you need to know about home loans.


A mortgage is a loan that lets you borrow money from a bank or other financial institution and pay it back over time with interest.

The amount you borrow and how much interest you'll have to pay will depend on your creditworthiness and ability to make timely payments.

Mortgages come in two different flavors - fixed-rate mortgages and adjustable-rate mortgages. These two types of loans can be subdivided into several other classes and have their unique pros and cons.

But generally speaking, they function similarly - they both allow you to borrow money from a lender using your home as collateral.

Mortgage Terms

The mortgage term defines how long you are obligated to repay your loan. A mortgage term of 30 years means that you have 30 years to pay back your home loan. The standard terms are 15, 20, 25, and 30 years.

Generally, many rules used in home loans can confuse consumers. It's important to note that loans with longer terms can cost more in interest over time because monthly payments are lower, but overall fees are higher.

Loan Products

Home loan products are numerous and can be confusing, especially when you consider the various terms and conditions involved with each one.

Today, the major types of home loans available in the United States are VA, FHA, USDA, and conventional loans. The traditional loans aren't government-guaranteed.

They all come with benefits, drawbacks, and specific requirements that affect the borrowers in different ways, including:

  • Credit scores
  • Down payments
  • Upfront funding fees
  • Mortgage insurance
  • Interest rates
  • Closing costs

Bottom Line

If you're planning to purchase your first home, the prospect of taking on a mortgage loan may seem intimidating.

After all, there are many aspects to consider, from how much you can afford to what size house you can buy with your budget.

The Lighthouse Program can provide precise information about home loans to help you know the proper steps to take to get approved and begin building wealth in your home.

With over 50 years of mortgage industry experience, we are here to help you achieve the American dream of owning a home. We strive to provide the best education before, during, and after you buy a home. Our advice is based on experience with Phil Ganz and Team closing over One billion dollars and helping countless families.

Find The Right Mortgage

For more than 20 years, Phil have been helping customers achieve their home purchase and refinance goals by providing them with invaluable resources and support.

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Phil Ganz

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