What can John, a veteran with a VA loan, do with his present home if he is being transferred?

John, as a veteran utilizing a VA loan, has specific options available to him when he is being transferred. The correct action he can take is allowing a non-veteran to assume the loan. This is significant because VA loans are assumable, meaning that if John transfers the property, a qualified non-veteran can take over the payments. This can make the property more appealing to potential buyers, as they could benefit from the favorable terms of the VA loan.

This option is advantageous for John as it may ease his transition while allowing him to avoid having to pay off the loan himself outright. The assumption of the loan can also maintain his eligibility for VA benefits, particularly if he plans to secure another VA loan for a new home.

In contrast, while selling the home to another veteran or renting it out might be possible, they do not directly leverage the unique advantages of the VA loan in the same way. Similarly, keeping the home and buying a new one may create financial strain, especially if he is unable to manage two properties simultaneously. Thus, allowing a non-veteran to assume the loan stands out as the most practical solution in his situation.