Should You Take Advantage of VA Loan Benefits?
- A Veteran
- Active-duty personnel
- Reservist/National Guard member
- An eligible surviving spouse
What makes a VA home loan particularly appealing for many eligible veterans (and their families, when applicable) is that a down payment is not required and they can finance more than 80% of a home’s value or purchase price because mortgage insurance is not required.
There are some drawbacks too, though, and we’ll guide you through all the questions you’ll want to ask before applying for a VA mortgage. If you’ve already done your homework and know that a VA home loan is right for you get VA mortgage quotes from competing VA home loan lenders.Get Multiple VA home loan offers to see if it is right for you.
What is a VA loan?
A VA loan is a mortgage loan offered to qualifying military personnel, servicemembers, veterans, and eligible surviving spouses by private lenders, and guaranteed by the U.S. Department of Veteran Affairs, in an effort to help qualifying individuals receive favorable terms on a home loan and become homeowners.
- Federal Collection Policy Notice
- Notice to VA home loan borrowers of actions the government can take in the event that they default on their VA-backed home loans. These include but... <a href='/glossary/what-is-federal-collection-policy-notice' title='See the full definition of Federal Collection Policy Notice'>read more</a>
- VA Amendatory Clause
- This is added to your purchase agreement, must be signed by you and your seller.... <a href='/glossary/what-is-va-amendatory-clause' title='See the full definition of VA Amendatory Clause'>read more</a>
- Funding Fee Clause
- Part of the required paperwork when borrowers assume VA home loans. It informs them that there is a .5 point assumption fee. <a href='/glossary/what-is-funding-fee-clause' title='See the full definition of Funding Fee Clause'>read more</a>
- Assumption Indemnity Clause
- A clause informing buyers that they must agree to assume all of the obligations of the original borrower under the terms of the instruments creating... <a href='/glossary/what-is-assumption-indemnity-clause' title='See the full definition of Assumption Indemnity Clause'>read more</a>
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