VA Loans

A VA (or Veterans Affairs) Loan is guaranteed by the United States Dept. of Veterans Affairs. This loan was designed to offer long-term financing to qualified Veterans or their surviving spouses. The elementary purpose of the VA loan program is to provide home financing options to eligible individuals in places where private loans are not generally a viable option and to assist veterans with purchasing properties with no down payment needed.

So you might ask - who is eligible?

• Veterans of war
• Active duty personnel
• Specific members of the reserve and National Guard
• Surviving spouses of those who die on active duty or die as a result of service associated injuries or disabilities
• Spouses of active duty personnel who are a) Captured during their service b) Detained by a foreign power c) MIA (Missing in action)

Here are some of the benefits of the VA (Veterans Affairs) program:

• Homes can be purchased without the need for a down payment - as long as the sales price is not greater than the appraised value.
• There will be no need for private mortgage insurance
• VA rules limit closing costs charges
• Closing costs can be paid by the seller of the home
• There is no penalty fee for paying off the loan early
• There may be some assistance available to you if you have trouble making the payments

Here are some more things you should know about VA loans:

• You are not required to be a first time home buyer
• You can reuse the benefit on multiple occasions
• VA-type loans are assumable - providing that the person assuming the VA loan meets the qualifications

If you fit the qualifications above then the VA loan may indeed be your best option for a loan. There is, of course, a lot of other information you will need to make a truly educated decision as to which loan type is right for you. Our qualified mortgage professionals are standing by to help guide you through this often confusing and intimidating task. Call us today at 800-747-4768 or click here to contact a PHS loan expert right away.