VA LOANS

What is a VA Loan?

A VA loan is a mortgage offered through the Department of Veterans Affairs program and insured by the United States government through the Government National Mortgage Association (GNMA). The VA sets the qualifying standards, dictates the terms of the mortgages offered and guarantees a portion of the loan, but doesn't actually offer the financing. VA home loans are provided by private lenders, such as banks and mortgage companies.

  • No down payment, 100% financing
  • No monthly mortgage insurance
  • No prepayment penalties
  • Limited closing costs
  • Lower average interest rates
  • Rate reduction and cash-out loans
  • Required VA Funding Fee. Amount varies depending on eligibility and can be forgiven by VA if eligible.

Qualifying Requirements:

  • Credit score of 620 or higher
  • Stable and consistent income
  • Must be a member of the U.S. Armed forces - active duty military, an honorably discharged veteran, or a military service member of the reserves or National Guard
  • Eligible surviving spouses of service members may also apply for a VA loan
  • Need a Certificate of Eligibility from the VA Certificate of Eligibility-VA
  • Service record eligibility:
    • 181 days of active duty during peacetime
    • 90 days of active duty during wartime
    • Six or more years in the Reserves or National Guard
  • Must be used for the purchase of a primary residence of single-family house, townhouse or condominium in a VA-approved complex.
  • Can be used to construct a new home and purchase a manufactured home and lot
  • Need to provide your most recent pay stubs, tax returns from the last two years, and information about other income sources (alimony, child support, rental income, self-employment income, etc.)