For those who have served our country, the VA loan program offers a powerful path to homeownership. Backed by the U.S. Department of Veterans Affairs, VA loans are designed to make buying or refinancing a home more affordable and accessible for veterans, active-duty service members, and eligible surviving spouses.
If you’re eligible, here’s what you need to know:
1. No Down Payment Required
One of the biggest advantages of a VA loan is no down payment. While conventional loans often require 5% to 20% down, VA loans allow you to finance 100% of the home’s value. This makes homeownership possible without draining your savings.
2. No Private Mortgage Insurance (PMI)
Most loans with less than 20% down require PMI, which can cost hundreds per month. VA loans don’t require PMI, saving you money every month and making your mortgage payment more affordable.
3. Competitive Interest Rates
Because they’re backed by the government, VA loans typically offer lower interest rates than conventional loans. That means you could pay less over the life of your loan—even with zero down.
4. Flexible Credit Requirements
VA loans are more forgiving when it comes to credit history. While each lender sets its own standards, credit score minimums are often lower than those for conventional loans, making them a strong option if you’ve had credit challenges.
5. Limited Closing Costs
The VA limits the closing costs veterans can pay, and some fees must be covered by the lender or seller. There’s also a VA funding fee, which helps keep the program running—but it can be rolled into your loan amount.
Who’s Eligible?
You may qualify for a VA loan if you meet one of the following:
- Served 90+ days during wartime or 181+ days during peacetime
- Served 6+ years in the National Guard or Reserves
- Are an eligible surviving spouse
You’ll need a Certificate of Eligibility (COE), which your lender can help you obtain.
Bottom Line
If you’ve served, the VA loan is one of the most powerful benefits available to you. With no down payment, no PMI, and flexible credit requirements, it’s designed to reward your service and make homeownership more achievable.
At Welcome Home Mortgage, we’re proud to serve those who’ve served us. If you’re ready to explore your VA loan options or just have questions, we’re here to help—every step of the way.
Have more questions? We’re always available for you!
205.358.3423 | [email protected] | NMLS # 2662452
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