As we celebrate the 4th of July, what better mortgage to talk about than VA mortgages? VA loans are one of the best mortgages available for homebuyers, they offer zero down, no monthly mortgage insurance and you can refinance them easily. Borrowers must still qualify for the mortgage, but for those that do, it is a wonderful program. Not all lenders offer VA mortgages, so you may need to shop around for a lender.
VA loans are typically 30 yr mortgages, although 15 yr mortgages are available. You must qualify based on income and credit, but you can buy with zero down payment and the seller can pay up to 4% in seller paid closing costs. There is a VA funding fee that is typically added to your mortgage. The amount will depend on whether you have used your VA eligibility before. If you have a VA related disability, the VA funding fee may be reduced or eliminated.
VA loans do have typical closing costs, although they are usually a little less than conventional loans. The appraisals are done by VA appraisers and sometimes can be a little more picky than a conventional appraiser.
If you have VA eligiblity, talk to a lender about using a VA mortgage. They are one of the two zero down mortgages left - the other is a rural development mortgage. VA loans are also assumable so you can sell your home and someone can assume that mortgage- however, you cannot use your VA eligibility again until the mortgage is paid off.
As we celebrate July 4th, I wanted to say thank you to all the veterans and their families. I know it's not an easy life and I appreciate your time in the military and your service for our country!
