What are VA Mortgage Loans?
VA Mortgage loans are types of loans issued to eligible veterans, service individuals and certain military spouses. VA mortgage loans are $0 down loans issued by private lenders. It is important to understand the difference between VA mortgage loans and regular mortgage loans. VA loans are issued by private lenders and backed by the United States Department of Veterans Affairs, also referred to as VA.
VA loans have served a very important role in helping veterans and their families. The VA mortgage loan helps veteran families with struggles they may otherwise face without the VA, including down payments and credit scores. The loans are not given directly to veterans, rather are issued through private lenders and guaranteed by the VA.
Benefits of 30 Year VA
There are significant benefits when receiving a 30 year VA loan. It is important to find a 30 Year VA refinance rate that works best for you. The following benefits are available to all eligible VA borrowers…
- 0% down
VA loans are some of the only loans in the country to offer 0% down. There are very few opportunities on the market such as 0% down for traditional mortgage loans. This is a benefit exclusive to VA eligible borrowers.
- No PMI
VA loans are guaranteed and backed by the United States government. Therefore borrowers are not required to purchase Private Mortgage Insurance, also referred to as PMI.
- Simple Process to Qualify
As stated previously, VA loans are guaranteed by the government. This allows banks to provide less complicated and stringent prerequisites for borrowers. This makes the process much less stressful.
- Competitive Rates for Interest
VA loans offer a more competitive interest rate compared to traditional mortgage loans. These types of loans allow lenders more flexibility as they are guaranteed by the US government. When lenders have more security and flexibility, borrowers receive a better offer for their mortgage.