Everything you need to know about VA Home Loans - www.GoSkylineDirect.com

Everything You Need To Know
About VA Home Loans

What is a VA home loan?

A VA loan allows a military veteran to purchase a home without making a down payment. The maximum amount a veteran can borrow with the VA loan is $417,000 in most counties throughout the country. However in many of the areas where home prices are higher such as California, New York and Hawaii the limits can be as high as $1,094,625. It is important to remember the maximum you can borrow is always calculated based on your ability to pay (or the combined ability of a couple) just like with a regular mortgage regardless of the county limit. VA is the only loan in the country that can allow you to get 100% financing on a $1,000,000.

You may be eligible for a VA loan if any one of the following are true:

  • You served 181 days during peace time (active duty).
  • You served 90 days during war time (active duty).
  • You served 6 years in the reserves or National Guard.
  • You are the spouse of a service member who died in the line of duty or because of a service-connected disability.

VA guarantees a portion of the loan, enabling us to provide you with favorable terms. To be eligible, you must have a good credit score, sufficient income, a valid Certificate of Eligibility (COE), and meet certain service requirements.

What are the advantages of a VA loan?

Many of our clients ask us “What are the advantages of a VA loan as opposed to some other type of mortgage loan”. One of the biggest advantages of a VA loan is that no down payment is required.

You may be eligible for a VA loan if any one of the following are true:

  • 100% financing (no down payment) as long as the sale price doesn’t exceed the appraised value.
  • No upfront or monthly private mortgage insurance is required.
  • VA funding fee may be financed into the loan or paid at closing.
  • VA rules limit the amount you can be charged for closing costs.
  • Closing costs may be paid by the seller.
  • The lender can’t charge you a penalty fee if you pay the loan off early.
  • VA may be able to provide you some assistance if you run into difficulty making payments.
  • Higher loan limits in more expensive counties.
  • You don’t have to be a first-time home buyer.
  • You can reuse the benefit.
  • VA-backed loans are assumable, as long as the person assuming the loan qualifies.

Why choose Skyline Home Loans for a VA loan?

Our VA loan experts know the ins and outs of the VA loan. The VA loan is different than any other loan. A VA loan is the only loan that takes into consideration the utilities that you would pay based on a home’s size and calculates that expense in your debt ratio.

The way a purchase agreement is written with a VA loan is critical. If the offer is not structured properly it will lead to problems at closing. If the lender you are considering isn’t familiar with these and many other important details of a VA loan, you are asking for trouble.

Are you ready to move forward with a purchase or refinance? Please give us a call at 888-810-1459 and let us help you secure financing for the purchase of a new home or save you money on the refinance of your existing home. Be sure to ask your loan officer about our closing costs incentives and our best rate guarantee!

Disclaimer: The information contained in this article has been prepared by an independent third party and is distributed to consumers for educational purposes only. The information is considered reliable but not guaranteed to be accurate. The opinions expressed in this article do not represent the opinions of Skyline Home Loans. Please consult with a licensed loan officer for expert advice regarding financing or refinancing a home.