VA loans are beneficial for those who qualify for a VA home loan; including veterans, active duty, national guard and reserve members. In order to apply for a VA loan, aside from your service, you must have suitable credit, sufficient income, and a valid Certificate of Eligibility (COE) to be eligible for a VA-guaranteed home loan. The home must be purchase as your personal residence.
The biggest benefits of a VA home loan:
- No Down Payment – Rather than paying 5%-20% on a down payment, you may finance a VA Loan up to 100% of the purchase price up to the VA loan limits in your state and county.
- No Mortgage Insurance – It is common that lenders require you to pay mortgage insurance on a purchase with less than 20% down. There is no mortgage insurance requirement on a VA loan, making it very affordable upfront and over time.
- Government Guarantee – The Federal Government guarantees the top 20% of a VA loan.
- No Prepayment Penalty – Most military personnel know their time in one location may be limited as orders often change. Regardless of if you’re a veteran or current military, there’s no prepayment penalty or early-exit fee for the VA home loan.
- Easier To Qualify – VA loan guidelines tend to be more flexible because of the VA loan guaranty. The Dept. of Veterans Affairs wants to make it easy for our service members to buy a home or refinance a home.
- Funding Fee Flexibility – The VA allows funding fees to be financed so that nothing is due at closing. Also, if the veteran receives disability compensation from the VA the VA Funding Fee maybe waived.
- VA Loans are Assumable – Assumable means you may transfer your VA loan in the future to a VA eligible buyer that meets the basic VA loan requirements. Assumable loans may be a great benefit to a buyer if the interest rates have increased since the home was originally purchased.
Helping Veterans and service members obtain home ownership financing is a personal goal for me. There are many benefits to home ownership and even more if you served our country and are eligible for a VA loan. If you want to learn more about VA Lending and how you can utilize the a VA home loan please email or call me today.
Kathleen Beck – Mortgage Lender
Sacramento, CA 95818
#Mortgage #MortgageLoanProcess #NoDownPayment #Buying #HomeBuyer #HomeBuyingProcess #Refinance #ConventionalLoan #FHALoan #VALoan #JumboLoan #PreQualifications #PreApproval #Borrower #HomeOwnership #Sacramento #BayArea #HomeFinancing #TrustedLender