VA Loan

The Veterans Administration Loan, known as a VA Loan, can be used to buy a home or to refinance your existing home.

VA Home Loan Benefits

The VA Loan provides military veterans with home loan terms which often include a no down payment option and no private mortgage insurance premium. The VA rules also limit the amount you can be charged for house closing costs.

For military personnel with an active service-related disability, an additional benefit is having the up-front mortgage insurance funding fee waived.

VA Home Loan Eligibility

Veterans, active-duty personnel, reservists, National Guard members, and some spouses are eligible for a VA loan when buying or refinancing a house. You must have suitable credit, sufficient income and a valid Certificate of Eligibility (COE) to qualify for a VA-guaranteed home loan. The home you are buying or refinancing must be the home you currently live in or will be living in. VA home loans are not able to be used to buy an investment property or a second home.

VA Home Refinancing

The VA Interest Rate Reduction Refinance Loan (IRRRL) lowers interest rates by refinancing your existing VA home loan. By obtaining a lower interest rate, your monthly mortgage payment should decrease.

No appraisal or credit underwriting package is required when applying for an IRRRL. An IRRRL may be done with “no money out of pocket” by including clsoing costs in the new loan or by making the new loan at an interest rate high enough to enable the lender to pay the costs.

An IRRRL can only be made to refinance a property on which you have already used your VA home loan eligibility. It must be a VA to VA refinance, and it will reuse the entitlement you originally used.