VA LOANS 

VA FINANCING - A GOOD DEAL FOR VETERANS

VA Loans require no down payment and allow you to qualify for a more expensive home.

The VA doesn’t actually make loans. Instead, it insures loans so that if buyers default for some reason, the lenders will get their money. This encourages lenders to give mortgages to people who might not otherwise qualify for a loan.

VA Loan Advantages

• VA home loans do not require a down payment, unless the purchase price is more than the appraised value or in excess of current loan limits.

• VA home loans have limitations on which closing costs may be assessed to the veteran.

• VA home loans may be prepaid without penalty.

• Maximum (zero down) VA loan has increased to $417,000

• VA home loans may have forbearance extended to worthy VA homeowners experiencing temporary financial difficulty

• VA performs personal loan servicing and offers financial counseling to help veterans avoid losing their homes during temporary financial difficulties

• Rates are competitive with conventional loan interest rates.

• VA home loans do not require mortgage insurance premiums.

• Although there is no down payment required - There are still lender closing costs.  The seller may pay ALL of the veteran's closing costs (and with a $0 down payment, the veteran can literally purchase a home for nothing).

• VA FastTrack Refinace: No Credit Check, No Appraisal, No Income Verification, No UnderwritingWe are sensitive to the needs of our American Veterans. But before you get a VA loan, you will need a Certificate of Eligibility, and your DD-214. If you do not have one, or cannot find it, you must contact the VA to get one.

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  Visit the Actual VA Website

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  Eligibility Requirements

  ERA DATES LENGTH OF SERVICE World War II 09/16/40 - 07/25/47 90 Days Peacetime 07/26/47 - 06/26/50 181 Continuous Days Korean Conflict 06/27/50 - 01/31/55 90 Days Post Korean 02/01/55 - 08/04/64 181 Continuous Days Vietnam 08/05/64 - 09/07/80 90 Days Post Vietnam 05/08/75 - 09/07/80 181 Continuous Days Enlisted 09/08/80 - 08/01/90 2 Years Officers 10/17/81 - 08/01/90 2 Years Persian Gulf 08/02/90 - (Undetermined) 2 Year period called to active duty, not less than 90 days.

  Income Guidelines for VA Home Loans

  VA requires a borrower to have sufficient and adequate income to cover the repayment of the mortgage.  Before a borrower can be approved for a VA home loan, the stability of income and the continuance of the borrower's income must be established through acceptable sources of income, the borrower's past employment record, and the employer's confirmation of continued employment must be established. 

  Stability of a person's income is generally derived from their employment history.  VA requires verification for the previous two full years and must be documented through lender verifications of previous employment or W-2's.  This income must be analyzed to determine whether it can be expected to continue through the first 3 years of the mortgage loan (if the borrower intends to retire during this period, the expected retirement income, social security benefits, etc. should be used).  Any gaps in employment must be reasonably explained by the borrower.  Schooling or education for  the borrower's profession (e.g. nursing school) can be counted towards the 2 year requirement.  Allowances for seasonal employment, such as is typical in the building trades for example, may be used.  

  VA FUNDING FEE

  In order for VA to guarantee the home loan, there is a closing cost assessed by the VA to originate the loan called a funding fee.  This fee will vary, depending upon the type of VA loan, whether this is your first time to use your entitlement, if you are a disabled veteran, the down payment and if you served active duty or in the National Guard/Reserves.

  The following table breaks down the funding fee charged by VA:

  First time use, purchase of an eligible property
  Down Payment	Active Duty	Reserves/NG
  0% to 4.99%	2.00%	2.75%
  5% to 9.99%	1.50%	2.25%
  10% +	1.25%	2.00%

  Second time use, purchase of an eligible property
  Down Payment	Active Duty	Reserves/NG
  0% to 4.99%	3.00%	3.00%
  5% to 9.99%	1.50%	2.25%
  10% +	1.25%	2.00%