- VA loans were designed for individuals who are actively serving in the armed forces and veterans who were honorably discharged and who served a minimum of 90 days of active duty.
- VA loans are guaranteed by the U.S. Veterans Administration (VA).
- VA loans have competitive interest rates because the loans are guaranteed by the VA.
- VA loans allow 100% financing with no down payments.
- VA loans can also be used for energy efficient repairs, alterations, renovations and improvements.
- For a fixed rate VA loan, the interest rate remains fixed for the life of the loan. The payments also remain level for the life of the loan and are structured to repay the loan at the end of the loan term.
- To obtain a VA loan, the borrower must obtain a Certificate of Eligibility from the Veterans Administration.
- VA loans require a one-time upfront Funding Fee payment of 3.15% of the loan amount that can be financed into the loan balance.
- Unlike FHA loans, VA loans do not have ongoing monthly mortgage insurance premiums.
- Sellers can contribute the full amount of the borrower’s closing cost, plus up to an additional 4% of the sales price.
- If you are actively serving in the Armed Forces or are a veteran, a VA loan is a superior option for your home mortgage.
- A VA loan will enable you to move into your home with no down payment and to obtain a very attractive interest rate because of the VA mortgage guarantee.
- Call our Mortgage Bankers today to see how we can help you benefit from your Armed Forces contributions.