Sunday, April 23, 2017

How a VA Loan Specialist Can Help You

The Path to Home Ownership
Eligible U.S. veterans frequently rely on loans from the Department of Veterans Affairs ("VA loans") to finance the purchase of their residences in the United States. This form of home financing is popular with military service members.
Yet the process of completing a mortgage loan application sometimes appears daunting to prospective buyers. Consulting with an experienced VA loan specialist may help.
What Makes a VA Loan So Attractive?
First, why do lenders, real estate professionals and home buyers usually welcome VA loans as a method of financing a real estate purchase? Obtaining this type of mortgage loan offers significant advantages:
Eligible veterans and active members of the military may obtain VA loans;
In some cases, a buyer using a VA loan may acquire real estate with no down payment.
Buyers do not need to pay money at the closing to obtain mortgage insurance when they use a VA loan. The Department of Veterans Affairs guarantees the financing. Home buyers using VA loans do not need to meet minimum credit score requirements. This often allows prospective home buyers with very poor credit to qualify for this specialized type of mortgage financing.
Private lenders appreciate VA loans because they realize the Department of Veterans Affairs guarantees part of the financing. (Provided everyone complies with VA loan requirements, of course). If a home buyer cannot pay the mortgage at some point, and the lender must take back the property, the lender will receive at least partial reimbursement for the mortgage. Essentially, the VA assumes much of the risk of extending financing, not the bank.
How VA Loans Assist Home Buyers
In recent years, property values have risen significantly in many communities around the United States. Since a mortgage down payment typically represents a percentage of the purchase price of a residence paid up front by a home buyer, the ability to rely on VA loan financing has become exceedingly valuable.
For example, a 20% down payment on a $50,000 home requires a $10,000 out-of-pocket payment by the home buyers. Yet when a house increases in value to $100,000, prospective buyers must pay $20,000 down simply to qualify for most conventional mortgage financing. With residential real estate in some cities now exceeding an average price of $250,000, families frequently encounter difficulty raising money to make a down payment. The availability of VA loans greatly assists eligible veterans and active military personnel in becoming home owners.
A Helpful VA Loan Specialist
A capable VA loan specialist assists home buyers in determining whether they meet the eligibility requirements for VA loan financing. The specialist can also provide advice about gathering necessary documentation required to prepare a VA loan application.
Complex rules apply in determining eligibility for these loans. However, numerous veterans, active duty military service people, reservists and National Guard personnel potentially qualify.
Consult a VA Loan Specialist
To explore ways to finance your dream of home ownership, call 619-350-1951. Today, obtaining VA loan financing helps many buyers become first-time home owners!
Mortgage Originator Jimmy Vercellino, specializing in VA loans, helps veterans use their VA loan benefit to their greatest advantage. For more details call us at 619-350-1951 or visit our site

The views expressed here are those of the individual author and do not necessarily represent those of First Choice Bank (NMLS #: 177877) and First Choice Loan Services Inc. (NMLS #: 210764), 959 South Coast Drive, Costa Mesa, CA 92626. Equal Housing Lender.

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