A VA Loan is a mortgage program designed to provide eligible veterans, active-duty service members, and surviving spouses with affordable financing options for purchasing or refinancing a home.
Eligibility is typically based on military service and discharge status. Veterans, active-duty service members, and some surviving spouses may qualify.
Benefits include no down payment requirements, no private mortgage insurance (PMI), and potentially more favorable terms and interest rates.
No, VA Loans are intended for owner-occupied primary residences only.
VA Loans have more flexible credit score requirements, but a higher credit score can improve your chances of qualifying for the best terms.
Yes, the VA offers several refinancing options for eligible borrowers, such as the VA Interest Rate Reduction Refinance Loan (IRRRL) and cash-out refinance.
Yes, VA Loans may require a funding fee, which can vary based on factors like the borrower's military category, down payment, and whether it's a first-time or subsequent use of the benefit.
Eligible properties include single-family homes, condominiums, and some multi-unit properties, as long as one unit is owner-occupied.
Yes, the funding fee can be financed as part of the loan amount, allowing you to avoid an upfront out-of-pocket payment.
VA Loans require a VA appraisal to determine the property's value and assess its condition to ensure it meets VA's Minimum Property Requirements (MPRs).
Yes, you may be able to use your VA Loan entitlement multiple times, depending on your previous VA loan history and remaining entitlement.
Expect to provide proof of military service, income verification, and other standard documentation during the application process.
Closing costs can vary, but the VA has certain restrictions on the types of fees that veterans can pay, potentially reducing the overall cost.
VA Loans do not require a cosigner, as the borrower's income and creditworthiness are primarily considered during the underwriting process.
If you experience financial hardship, contact your loan servicer immediately to discuss available assistance options, such as loan modifications or forbearance.