5 Benefits You Need To Know About VA Loans

Posted on May 25, 2019. Filed under: First Time Buyer help, Homeownership, Making Life Easier, Orange County Real Estate, Spring Buying Season, VA Loan |

Screen Shot 2019-05-27 at 10.40.49 PM.png

To All of Our Veterans – Thank You. Happy Memorial day! 

The VA loan is a mortgage loan that is designed to help eligible veterans finance their home with no down payment – guaranteed by the US Department of Veterans Affairs.

5 Benefits You Need To Know About VA Loans

1. No down payment required!

The VA loan is a $0 down payment mortgage – available to Veterans, Service Members and certain military spouses. Conventional loans typically require a down payment that can be as high as 20%. While there is no down payment required, there is a VA Funding Fee. The fee is a governmental fee that is applied to every VA loan. This fee can change based on different circumstances and factors.

2. No Mortgage Insurance! 

Private Mortgage Insurance is a type of mortgage insurance that is required for borrowers who finance more than 80% of their home’s value. This is a monthly cost (or one-time upfront premium) that is added to a traditional mortgage loan. Because the VA Loans are government backed, Private Mortgage Insurance is not required by the banks! This is a huge savings for homeowners.

3. Easier to Qualify! 

These loans are backed by the government so that means banks assume that there is less risk involved. These loans do not have as many qualification standards as traditional home loans. These loans are easier to obtain and allow for more credit and income flexibility.

4. VA Loan Closing Costs Are Lower!

Another cost saving perk – the VA limits the closing costs lenders can charge to VA loan applicants. The average closing cost of the loan is between 1% – 3% of the loan amount. The percentage can raise to 3% – 5% if the home is less expensive. Your real estate agent can request the seller to cover some closing costs for you – reducing more costs for you.

5. The VA Loan Is Reusable! 

These loans are not just a one-time benefit. If you have earned this benefit, you have it for life! There is no limit on the number of times you may use the loan. The VA loan has accessibility to different property types, you could re-use it to buy a house, condo, new-built home, manufactured home, duplex or other types of properties It can even be used to refinance your existing mortgage.

 

Supporting our veterans with a lender who cares –

Derek Beisner

Have more questions about the VA loan process? Derek will be there to walk you through the process. He provides expert advice while walking you through every step of the process. You will be a client for life with Derek Beisner

Derek is available to text on weekends: 1 (949) 637-9939

Advertisements

Make a Comment

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

    About

    Orange County, CA Real Estate for hip first-time buyers and investors. Plus, fun things to know and do in OC.

    RSS

    Subscribe Via RSS

    • Subscribe with Bloglines
    • Add your feed to Newsburst from CNET News.com
    • Subscribe in Google Reader
    • Add to My Yahoo!
    • Subscribe in NewsGator Online
    • The latest comments to all posts in RSS

    Meta

Liked it here?
Why not try sites on the blogroll...

%d bloggers like this: