I lot of people know that the VA gives veterans gives good loans, but don't have a lot of details. VA Mortgage Loans are provided by private lenders, such as banks and mortgage companies. VA guarantees a portion of the loan, enabling the lender to provide you with more favorable terms.
The guarantee VA provides to lenders allows them to provide you with more favorable terms, including:
? No down payment as long as the sales price doesn't exceed the appraised value.
? No private mortgage insurance premium requirement.
? 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.
You should also know that:
? You don't have to be a first-time homebuyer.
? You can reuse the benefit.
? VA-backed loans are assumable, as long as the person assuming the loan qualifies.
For tons more information, check out the Guide to VA loans at the National Association of Realtors, or call me anytime - I've closed a bunch of VA buyers!