VA Mortgage U.S.A. Veteran 100% Financing
What Types of Financing are Available?
The VA offers several different programs:
- Purchase Loans – these loans help veterans purchase properties. They have very competitive interest rates and often do not require any down payment or any type of mortgage insurance. They do typically stipulate that the veteran occupy the property. They do require the applicant to have good credit, a Certificate of Eligibility (COE), and meet income and service requirements. The COE can often be acquired from the lender, through the mail, or from the veteran’s eBenefits system.
- Cash-Out Refinance – For those who already own a home, a cash-out refinance loan allows them to actually cash out some of the equity they have built up within the home and use it to pay off other debts, make home improvements, or refinance a loan through a different lender into a VA loan. Loans can be guaranteed up to the full value of the home.
- Interest Rate Reduction Refinance Loans (IRRRL) – these loans, sometimes referred to as a Streamline Refinance Loan, allow homeowners to refinance their VA loan to get a better interest rate. This type of loan can only be used to refinance a current VA loan—loans received through other lenders are not eligible. Applicants do not have to get a new COE—they may use the previous one to show that they have received a VA loan for the property. The lender may also send in an email confirmation instead of the COE.
Anyone who has been an active duty military member, a part of the reserve or National Guard, or a veteran qualifies for certain VA benefits. However, some of their specific mortgage programs are only available to those who served a specific number of years or were on certain types of duty.