VA Mortgages for Veterans
A Veterans Administration (VA) Mortgage
is a Mortgage with no down payment requirement, available only to ex-servicemen and women, on which the lender is insured against loss by the Veterans Administration.
If you are among the 29 million veterans and service personnel who are eligible for a Veteran Loan, a VA Mortgage can help provide you with the advice and resources needed to buy or refinance the home of your dreams.
Make sure you know what financial benefits are available to you so you can save the most money possible.
VA Mortgages Advantages
A VA Mortgage
is advantageous for veterans who need a no-down payment loan. VA loans can run up to $240,000 today, whereas on FHA loans the maximum is lower in most areas, ranging from $144,000 to $261,000. FHA also requires at least 1% down, and the insurance premium is higher than on VA mortgages. Conventional loans with no down payment carry rates .75% higher and up, depending on the borrower’s credit score.
The condition is that VA borrowers may pay a higher price up-front (rate or points) than is available on either FHA's or conventional mortgages.
To protect themselves, the veteran should consult a web site that will price all three types of loans for VA, FHA, and conventional loans. Let your fingers do the shopping!