Home Mortgage For Military Veterans

Home Mortgage For Military Veterans

Exclusive Summary About Veterans Home Mortgage by Levetta Rivera and P. Proffitt

One of those benefits is the VA home loan program. The VA home loan offers several advantages over a conventional home loan. Not so with a VA loan. While VA does not require the veteran to make a down-payment, there are still loan closing cost as with any home loan program that the borrower incurs.

Closing cost usually average 3-5% of the loan amount. VA, however allows the seller to pay all of your loan closing cost up to 6% of the loan amount. VA home loan participants also enjoy the luxury of not having to pay mortgage insurance.

The Department of Veterans Affairs does charge a "VA funding fee" to all non-exempt users of the va home loan program. The VA funding fee is currently 2.15% of the loan amount for first time VA loan users and 3.3% for subsequent users who do not make a down-payment.

VA Mortgage Loans - 100% Home Financing Options For Veterans

Veterans can obtain cost-effective home financing with VA mortgage loans that enable purchasing and refinancing up to 100% loan to value. In order for veterans to qualify and benefit from VA home loans it is important to understand the loan eligibility requirements, the VA entitlement and various loan types allowed with VA mortgages. Clearly, military veterans should understand the differences, advantages and disadvantges when comparing VA mortgage loans to conforming home loans.

First and foremost, VA is not a mortgage lender. The Department of Veterans Affairs does not make loans, but VA does guaranty the VA mortgage loans that traditional lenders make. Like FHA loans, VA mortgage loans are more flexible and understanding with credit.