Category

Financing

Sep 04
0
A Home pin with american flag behind it.

Veterans and Active Military: Finding Your New Home

By | Financing, Home Loans, Housing, VA Loans | No Comments

The US is regularly plagued by natural disasters and crime. From California fires to hurricanes along the coast, there seems to be nowhere safe to go. Crime rates can be high in the US too; feeling safe in your home is important especially when trying to rejoin American society. If you or someone you love is a US veteran or active military member and has experienced the loss of a home, then we can help you. We will also go over low-crime-areas so that you can feel extra comfortable in your decision of choosing where to go next.

Naturally Safe

The last thing you want to have happened is to come home after service and have your home ruined by mother nature. It may be tempting to stay in the current state and find a new place to stay but in the event the natural disaster happens again, you don’t want to lose another home. Here are some amazing states that are considered the safest from natural disaster damage:

  • Montana
  • Maine
  • Colorado
  • Vermont
  • Minnesota

Publicly Safe

Not only are natural disasters a scary situation but being in fear of your community every day is a whole other beast. Especially for veterans suffering from PTSD, walking on eggshells every day is too much anxiety to handle. There are several states that you can make home so you can sleep easy every night knowing that your potential state has low crime. Here are the top safe states of 2019:

  • Maine
  • Vermont
  • New Hampshire
  • New Jersey
  • Idaho

After Choosing

As you can see some of the states do overlap in safety for both variables. If you have made your choice of where to live, then you may need some assistance in locking down your dream home. A great resource for veterans and active military is a VA home loan. You can get a home loan for $0 down, which is only one of the many benefits a VA home loan has to offer.

VA Loan Benefits

  • No required down payment percentage
  • No monthly mortgage insurance premiums
  • The lowest average interest rate of all loan types
  • No prepayment penalty

Feel Safe

Whether you’ve lost your home or are simply looking for a safer place to live, knowing you have another perk from your military service is sure to ease your nerves. A VA home loan can help you financially and mentally so you can confidently plant your feet in a place you know is safe.

Before you speak with a local VA home loan specialist you can get a quote online if you want to buy or refinance your home. With a VA home loan, you can save up for furniture, relocate easily, and recover from disasters straightforwardly.

In State Specialist

As you noticed, Idaho is one of the safest states in terms of crime rate. For information on moving to Idaho and purchasing a home using a VA home loan, Devin Fahrner will be your best resource. She is an experienced mortgage loan officer that understands your situation and can guide you in the right direction for an Idaho VA home loan. See why Idaho is one of the best states to live in for military personnel, veterans, and military families.

Jul 08
0
Two Story Colonial House with American Flag

What Do VA Home Loans Offer Veterans?

By | Financing, Home Loans, VA Loans | No Comments

Buying a home is a careful, considerate process. In addition to the measures taken to keep the process controlled, there is also the added stress of financial burden and complicated loaning processes. Although, there are alternatives for home loans! On top of that, the veteran home loan experience has actually been simplified and organized into a very cohesive, flexible system.

VA home loans are not offered by every institution. However, it is because of this that the many institutions offering VA home loans are in competition with one another. This gives veterans a spectrum of loan options with adjustable features to suit their needs.

Unfortunately, a small minority of veterans are taking advantage of these loan opportunities. Loan institutions averaged 431 veteran home loans during the 2018 Fiscal Year. Of the 610,512 loans offered among all lending institutions in 2018, the average loan was $259,725 but almost half of these institutions offered more than this average.

While 600,000+ may seem like an exceedingly large amount of participating veterans, there are still an overwhelming amount of veterans not looking into VA lending options during their home loan search. This could be a result of a lack of awareness or even misconceptions about these lending alternatives. Below, we have listed some of the unmatched benefits that come with VA home loans.

Qualifications for VA Loans

Much like any lending experience, the qualification process tends to be an extensive one. For veteran home loans, there are more flexible terms.

Veterans and active military members are given a little more leniency as far as credit scores are concerned. The threshold for credit is much more permitting.

Ultimately, those interested in VA home loans just need to complete a Certificate of Eligibility (COE) and wait for approval to continue with the lending process. Speaking with your lending officer or representative about what documents are required for their specific institution will get the ball rolling much quicker.

Down Payment

There is no down payment required for qualifying veterans or active military service people. Down payments are easily of the biggest concerns for homebuyers. They tend to put stress on the buyer with a hefty chunk of change that is immediately absorbed. Veterans and active military members, however, do not need to be concerned with this because of the safety net that VA home loans provide. As long as the loan requirements are met, they are able to start a life in a new home now – not after years of saving up for just the down payment.

Interest Rates

There are homebuyers not pressured by the down payment element of the home buying process that exists in today’s world but, typically, these buyers do bare the financial weight of high-interest rates. For military members, interest rates are also protected. While there is not a set interest rate cap, institutions generally keep VA home loan rates much lower than traditional or FHA loans.

Foreclosure Protection

There are clearly some preparatory benefits but foreclosure measures are often an afterthought for home buyers. No one anticipates for hard times to hit but they do happen occasionally. VA home loans also provide homeowners with the peace of mind that there is a secondary security measure for them to fall back on when the unexpected becomes reality.

Fine Print

There are quite a few fine print elements of every home loan that come up as surprises to potential home buyers. Fortunately enough, many of these are simplified or completed excluded in veteran home loans.

Most home loans lenders use the following measures as a safeguard for the lender, borrower, or both: mortgage insurance, uncapped closing costs, and prepayment penalties. For qualified applicants, none of these apply because veteran borrowers are not expected to pay for mortgage insurance, the VA actually restricts what lenders can charge in closing costs, and veteran borrowers are also not penalized for early repayment of their loans. All of these act as support for veterans and active military members in order to offer a more simplified, less expensive loan experience.

Clearly, there are many details even in veteran home loans but the general process has been streamlined as much as possible. Speaking with loan representatives with as much experience as possible will keep you informed and updated about any changes and options.

Jun 24
0

Why VA Loan Refinances Are Some Of The Best Deals Around

By | Financing, Home Loans, VA Loans | No Comments

The benefits of Veterans Administration (VA) home loans don’t stop with the purchase of a property. Veterans and service members have access to streamlined refinancing that can save them money every month and provide cash for home improvements, debt consolidation or major purchases. Veterans who have conventional loans can even refinance into a VA loan to take advantage of the benefits they earned.
Are you considering a VA loan refinance? Then you need to know the answers to the frequently asked questions below.

What is Refinancing?

Refinancing a mortgage simply means paying off an existing mortgage using a new one. Since time and expense are involved in a mortgage refinance, there must be a benefit to the borrower. Common benefits of refinancing include a lower interest rate, a lower monthly payment, cash out for home improvements and cash out to pay off higher interest debts. Closing costs can be substantial – with the exception of VA home loan refinances. The VA’s streamlined process allows veterans and service members to refinance with little cost or inconvenience.

What is VA Loan Refinancing?

Refinancing VA loans provides borrowers with the opportunity to save money without paying heavy closing costs. The cost savings result from the streamlined process. The streamlined process begins with the borrower completing a pre-qualification application. This application verifies the borrower’s eligibility for a streamlined process and determines if the refinance has a benefit to the borrower. If the loan has no benefit, the application process stops. The prequalification also determines if the borrower has sufficient income to afford the new loan, which is particularly important in cash-out refinances.
How does the VA Loan Refinancing Application Process Work?
The VA streamlined refinance program serves only those who previously qualified for a VA loan, so the process proceeds quickly with little paperwork. Most applications require no appraisal, which saves time and money while increasing the chances of approval. The loan officer will complete the application and collect needed documents, including driver’s license, proof of social security number, homeowners insurance and the current note. The borrower signs the legally required disclosures and the application process is complete. Approvals generally take about two weeks.

What is an IRRRL VA Refinance?

An interest rate reduction refinance loan (IRRRL) refinance provides veterans and service members the opportunity to refinance their VA loan into another VA loan at a lower interest rate. IRRRL refinances become popular when interest rates decline. In choosing whether to proceed with an IRRRL refinance, borrowers calculate the savings each month and compare it to the costs. If the time it takes for the savings to outweigh the costs is shorter than the time the borrower plans to stay in the home than the IRRRL provides substantial long-term savings.

What is a Cash out Refinance VA Loan?

The VA allows cash-out loans of up to 90% of the home’s value. For example, if a home’s value stood at $100,000 and the loan balance plus refinance fees came to $80,000, then the borrower could cash out a maximum of $10,000. Cash-out refinances work best when the funds are deployed for home improvements or to pay off much higher interest debt, such as credit cards. Home improvements increase the value of the property, so the borrower regains the equity once improvements are completed. When used to pay off high-interest credit cards, the borrower saves on interest payments and reduces overall debt far faster than without using the cash-out refinance option.

Refinancing into a VA Loan

Qualified veterans who have conventional loans are often surprised at how much money they can save by refinancing into a VA loan. VA loan interest rates are very competitive, and the refinance fees are much lower than conventional loan programs. As a result, all veterans with conventional loans should compare refinancing VA loan against a conventional refinance.
The VA loan program has helped millions of military and veteran families achieve homeownership. By taking advantage of refinance options, veterans can gain even more benefits. VA loan refinances provide veterans with a fantastic opportunity to reduce expenses, make home improvements and manage debt for a financially secure future.

Call Now Button(208) 863-6610