If you’re a veteran, a VA home loan is the best way to finance your home purchase. It’s unlikely that you’ll save more money by pursuing any other mortgage program. The VA home loan program can actually save you even more money than the extremely popular FHA mortgage program.
Take a look at the top five benefits available to you with a VA home loan.
1. You can buy almost anything with it. You can use a VA home loan to finance a home or condominium, add on to an existing home, carry out other home improvement projects or repairs, or build a home from scratch. In many cases, you can even use a VA loan to refinance an existing mortgage.
2. No down payment necessary. VA home loans are the last zero-down mortgage game in town, folks.
3. No private mortgage insurance required. If you put down zero dollars toward your home with any other mortgage program, you’ll be forced to pay for mortgage insurance. Even the FHA requires it. This is not the case with the VA program.
4. No early repayment penalty. You can pay the mortgage back as fast as you like, if you want to save some money, and the lender can’t charge you a prepayment penalty. This is a great feature for frugal buyers who plan to get out of debt as fast as possible.
5. Limited closing costs. You can actually save money on closing costs with a VA mortgage. Hard to believe? Ask your lender for a good faith estimate on a VA home loan and find out what the expenses will be. They’re often lower than with conventional mortgages.
These five features should be enough to convince any veteran who qualifies that a VA home loan is the way to go.
