VA Loans

What is it?

VA loans are made by private lenders and can be a more affordable option for eligible homebuyers. VA loans do not require a down payment or mortgage insurance, which other loans usually require with low down payments. Not having the requirement of mortgage insurance, VA loans are one of the best options for eligible buyers since it can add significant cost to the mortgage each month.

Who Qualifies?

VA loans are for current or former members of the military, including spouses. Qualified borrowers for VA loans include…
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Veterans

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Active duty service member

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Current/former National Guard or reserve member*

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Discharged member of the National Guard*

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Surviving spouse

*Regardless of whether they have been activated for Federal Service

What You Need

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A Certificate of Eligibility. The VA will issue you a Certificate of Eligibility if you meet their guidelines for type and length of service. If you do not have one already, we can apply for your Certificate of Eligibility for you.

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A minimum FICO Score of 620.

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A debt-to-income ratio (DTI) of no more than 60%. Estimate your DTI by adding your monthly debt payments (such as credit card and car payments) and dividing the total by your monthly income before taxes.

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Money to cover the funding fee charged by the VA. This may be rolled into your loan. You may not have to pay this fee if one of these criteria applies to you

  • You have a service-connected disability.
  • You receive VA disability or have in the past.
  • You are a surviving spouse who qualifies.

What is the difference between 
VA loans and other mortgage loans?

VA loans generally have lower rates than mortgages like a Conventional 30-year fixed mortgage. This is a chart with differences of a VA loan and a Conventional 30-year fixed mortgage.

VA LOAN CONVENTIONAL
House Price $300,000 $300,000
Down Payment $9,000 (3%) $9,000 (3%)
Loan Amount $291,000 $291,000
Interest Rate 3.000% * 3.130% *
Principle + Interest $1,226 $1,247
PMI Mortgage Insurance $0 $121 (0.50%)
Total Monthly Payment $1,226 ** $1,368 **

*Based on March 2021 rates

*Interest Rates and APRs are effective as of (give a specific day, not just month/year) and may change based on current market conditions and actual loan costs.

**Total Monthly Payment does not include taxes and insurance.  
Underwriting approval is required and program requirements are subject to change at anytime without notice.