What are VA Loans?
The Veterans Administration (VA) created a loan program to help military veterans purchase homes. VA loans require no down payment. Veterans, current military personnel and spouses of veterans who died of service-related injuries may apply for VA loans. Certification of eligibility is required. If you choose to apply for a VA loan, please make sure that the person with VA eligibility is listed as the primary borrower.
VA loans are mortgages insured by the Department of Veteran’s Affairs. If you are a veteran, active duty service member, or member of the Reserves or National Guard, you may be able to obtain a VA loan requiring no down payment. The current maximum VA loan is $417,000. While most VA insured loans charge a VA Funding Fee (as a percentage of the loan amount) in lieu of mortgage insurance, veterans receiving VA disability benefits are exempt from the fee, making VA financing even more attractive. Eligible veterans and members of the military with down payments less than 20% may find VA mortgages to be their best financing option.
The Veterans Administration (VA) created a loan program to help military veterans purchase homes. VA loans require no down payment. Veterans, current military personnel and spouses of veterans who died of service-related injuries may apply for VA loans. Certification of eligibility is required. If you choose to apply for a VA loan, please make sure that the person with VA eligibility is listed as the primary borrower.
The United States Department of Veterans Affairs, known as the VA, offers a number of benefits to veterans and active duty members of the military, including VA loans, home loans which are guaranteed by the government. The VA itself does not lend out the money, instead offering surety to the lender. People can get VA loans from a wide variety of mortgage lenders, either by approaching the lender directly or using the services of a mortgage broker who may opt to shop the file around to several lenders to find the best deal. There are a number of advantages to using VA loans which make them appealing to people who are eligible. First of all, many VA loans come without the obligation of a down payment, although people can certainly opt to put in a down payment if they so choose. These loans also typically have a lower rate of interest. While eligibility for a VA loan will not guarantee that someone can get a loan, lenders may consider people who are otherwise marginal candidates for a hom
