What's The Best No Money Down Loan? Check Out VA Loans!
With all that's gone on in the past few years with mortgage loans, little has changed for VA loans. In a recent article in the Washington Post Kenneth R. Harney wrote an article titled Veterans Affairs mortgage program avoids the pitfalls of other lenders
In the article Kenneth Harney points out the following facts:
- 91 percent of its borrowers make zero down payments.
- Loan amounts go well into the jumbo range — to $1 million and sometimes above, even with little or nothing down.
- Credit standards are flexible and generous. Underwriting rules encourage loan officers to look for ways to approve applications rather than to reject them.
- Mortgage originations are up — almost triple what they were just three years ago — and are on track this year to exceed 2010’s volume. The rest of the loan industry, by contrast, is down by anywhere from 25 percent to 30 percent.
So, who is qualified to get a VA Mortgage Loan. You can go to the Quick Reference Table for VA Eligibility
You may ask "What are the benefits of a VA Mortgage Loan?
- No down payment required in most instances
- Large loan amounts - Over $1 million in some areas of the country
- No minimum credit scores but your credit history will be evaluated
- Flexible credit and underwriting standards
- No monthly mortgage insurance. VA has a one time funding fee as low as 1.25% with a 10% down payment. The one time funding fee for no down payment loans starts at 2.15%. Disabled veterans don't pay the VA Funding Fee
- The VA allows sellers to pay a large portion and in some cases all the the veterans closing costs and prepaid items. In some cases the seller can also pay of the veterans current debt. This means a veteran can purchase a home with no cash required.
So, where do you go if you have questions. Visit www.DCMilitaryVALoans.com or simply give me a call.
Your source for VA loan information.
My direct line is 240.813.0614. So let me hear from you! Remember...it doesn't cost a penny to talk...so call right now and I will answer all your questions.
Senior Mortgage Consultant
PrimeLending, A PlainsCapital Company
704 Quince Orchard Rd., Suite 230
Gaithersburg, MD 20878