What is a VA loan?
A VA (Veterans Administration) loan is available for current and former service members. VA loans offers simple qualifying terms, low rates, and no down payment.
VA loans offer flexible underwriting guidelines and come with significant benefits, including no Mortgage Insurance (MI) and no down payment, which allow veterans and service personnel to more easily purchase a home. They are rising in popularity, with almost 630,000 loans guaranteed in 2013 – the highest number since the program began over 70 years ago. To qualify for a VA loan, borrowers must present their certificate of eligibility to the lender.
What are the benefits of a VA loan?
- No down payment is required if purchase price is less than $417,000
- Flexible underwriting guidelines
- Mortgage insurance is not required
- There is no pre-payment penalty, so borrowers can pay off their loan at any point
VA loans are ideal for many veterans, service members, and military families. If you’re considering a VA loan, contact us today for further information and guidance.