VA loans are common in that they are guaranteed to individuals by the U.S. Department of Veterans Affairs (VA), and issued by qualified lenders and banks. These loans are designed to provide home financing for Texas veterans that are eligible or surviving spouses. The VA mortgage program’s primary objective is to ensure that eligible veterans have adequate home financing with little out of pocket costs. The fact that the program permits up to 100 percent financing is especially good for vets living in higher costs housing locations of Dallas, Houston and San Antonio.
The main benefit of the VA loan is that it allows veterans financing of up to 100% of the homes value, with no need for mortgage insurance. This allow can save vets hundreds each month when compared to other conventional and FHA loans. The funding fee for the VA loan is 0 percent (for disabled vets) to 3.3 percent of the entire loan that is payable to the VA and commonly financed or added to the home buyers loan amount.
The fact that there isn’t any monthly PMI is also a benefit for the veterans, since they qualify directly for the entire loan amount, and may even get larger loans while making a similar payment. The VA also allows for many different streamline refinance options like VA IRRRL or “Interest Rate Reduction Refinance Loan” The maximum guarantee for a VA loan that you can get by county without any down payment has been fixed at $417,000 in most the country. Certain ‘high-cost counties’ in California, Florida, etc. have limits over $650,000
Qualifying for Veteran Home Loans
The Veteran Loan program is made specifically for the veterans who have met the average number of days in their service. Other forms of eligibility for the VA loan program may include the service commitment, character of service, duty status, and the length of the service. Like all home loans, VA does have minimum standards required to get approved:
- Most mortgage companies will require a 620 credit score for Vets that financing up to 100% loan to value. This credit score requirement does not automatically guarantee loan acceptance or pre approval. Lenders do have additional requirements for any vet with a serious past financial hardship.
- Veterans will need to document income – whether by a job or disability.
- Single family homes, approved condominiums or town homes in decent good repair – that meet min HUD standards. Mobile homes, land or lot loans not permitted by most lenders.
Advantage of VA Home Financing
- 100% financing with no mortgage insurance costs.
- Seller can pay home buyers closing costs.
- VA loans have some of the lowest interest rates available today.
- Secure 30 year fix, or 15 year terms.
- Vets can apply and be pre approved all in the same day, the process is quick.
Applicants that have questions or want to learn more are encouraged to call ph: 800-871-2636. Or just submit the Request Contact form found on this page for a quick response 7 days a week.
Serving Vets across the U.S. including Texas: Houston, Dallas Fort Worth, Austin, San Antonio, El Paso, Midland, Plano, Irving, Brownsville, Arlington, Lubbock, Laredo . VA Home Loan Pre Approval Texas