If you’re a veteran, active-duty member, or an eligible spouse in the market to purchase a home, a VA loan may be a good option for your home financing needs. To ensure you are qualified for this loan, discuss your needs with a team member or check the U.S. Department of Veterans Affairs website for more information.
As an eligible recipient of a VA Loan, you can receive several benefits by using this loan product.
Benefits of a VA Loan
- You can finance 100% of the loan with no mortgage insurance. This can save you hundreds of dollars per month compared to a Conventional loan.
- You can also finance 100% with a cash-out refinance.
- If you ever need to refinance, the VA loan products have streamlined refinancing with very little closing costs and typically an appraisal is not needed.
- There is flexibility on debt ratios unlike other mortgage products.
- Home eligibility for a VA loan include stick-built houses, condos, or even manufactured homes.
- If you are a disabled veteran, your funding fee could be waived.
- Currently*, there is no cap on loan amounts, so you could use your VA loan for a jumbo loan amount. (*May 2021)
Keep in Mind
- Only service men and woman are eligible for VA loans. Reserve members can qualify, as well.
- This product does have a funding fee (*currently 2.3% of the loan amount, May 2021). Funding fees can be reduced by making a down payment on your home’s purchase.
- VA loan appraisals are more involved than a typical appraisal. This is to ensure that you are purchasing a home that is in the best condition for you and your family. Keep in mind, VA loan appraisals may require more time. little bit stricter and may require more time for the loan to be closed.
- If the person you are purchasing a home with is not your spouse, you are not eligible to use a VA loan.
If you have any questions about our VA loan products, contact a team member today!