A VA loan is a mortgage made available to service members, veterans, and eligible spouses of veterans. VA loans are considered a government loan, as the Department of Veterans Affairs guarantees a portion of the loan, often times allowing the lender to provide you with more favorable loan terms. Some of these favorable loan terms include interest rates that are typically lower than the market conventional rate, the ability to purchase a home or cash-out refinance up to 100% of the property value, and no mortgage insurance required. One type of VA loan is a VA Interest Rate Reduction Refinance loan, which allows a qualified homeowner the ability to lower their rate or payment without the need of income verification or appraisal and termite inspections.
Like other government backed loans, VA loans require that you live in the subject property as your primary residence and also require a termite report proving that the home has been inspected by a licensed pest inspector who can attest that the home has no evidence of termites or termite related damage.
Credit score requirements for VA loans differ from lender to lender, however we have access to lenders that allow a score as low as 580 depending on other qualifying factors. If you are looking to take advantage of your VA benefits, talk to one of our Mortgage Experts to see what you may qualify for.