VA loans are designed with veterans and active duty military in mind, and there are many benefits to choosing one for your new home.
- Guaranteed by the Government
As part of a program to help our veterans become homeowners, the Department of Veteran Affairs stands behind VA loans and guarantees that a portion of the loan will be repaid to the lender should you be unable to make your mortgage payments.
Because of this, lenders are willing to provide loans with incredibly attractive terms for those who qualify.
- Easy to Qualify
Because of the more flexible guidelines regarding income, credit, and documentation, VA loans incredibly accessible for veterans and active duty military.
Most active-duty members qualify after around 6 months of service, and some may qualify in as little as 90 days during war periods. Even spouses of military members who passed away during their service may also apply.
- No Down Payment
Most loans require at least a small down payment to buy a home, however VA loans are an exception to this rule. VA loans allow for 100 percent financing of the home’s purchase price, which means no down payment is required.
- No Private Mortgage Insurance
Mortgage insurance is typical for buyers who put less than 20% down on their home. This protects the lender should the buyer default on their loan for any given reason.
However, VA loans do not require mortgage insurance which makes VA loans incredibly affordable over time.
- VA Loans Are Assumable
VA loans are assumable, which means that the loan can be transferred to the next homebuyer should they qualify. This adds significant value to a home, especially in a rising-rate market.
- Lower Closing Costs
The VA places limits on what veterans can be charged for closing costs. Because of this, some costs must be covered by other parties in the transaction. In fact, the seller may even cover some of the closing costs as part of the negotiation process.
Our VA Loans
On top of these benefits, Morgan Financial is a veteran-owned company dedicated to providing the best VA loans for our military. If you are interested in a VA loan, be sure to give us a call at 321-265-4000.
