Veterans may obtain VA loans offered by individual lenders but guaranteed by the federal government. The guarantee buffers mortgage companies against loss up to a certain amount if a homeowner go into foreclosure. Because of this guarantee, mortgage companies are able to give veterans features not readily obtained through other programs. Below is an overview of the benefits of VA loans in NH.
Benefits Of VA Loans In NH
The best advantages of VA loans are the options for no down payment and no mortgage insurance. Buyers can borrow up to the entire price of a home being purchased, if the appraisal supports the price and the individual lender does not have a special requirement for down payment. VA mortgages also allow veterans to afford buying a home by removing the additional expense of mortgage insurance, which is normally included in home loans with low down payments. Other important advantages are…
- Comparable closing costs to other types of loans.
- VA loans are transferable.
- No penalty for paying the balance off early.
- Ability to finance or reduce the VA funding fee for the mortgage.
Qualifying for VA Loans
To qualify for a VA mortgage, veterans must comply with several criteria. The first set involves their actual service – war served, type of service, and length of time served. The second set includes the normal credit report and financial analysis by mortgage companies. Veterans may contact any lender offering VA loans to determine eligibility and request a pre-approval.
With a pre-approval ready, veterans should then start touring listings within their price range. Once a property is selected, an offer will be made contingent upon approval for VA financing. With a purchase contract, veterans will then submit an actual application and lock in an interest rate. Once the application is approved, the next step is the closing. After closing, information is sent to the VA. Veterans can only maintain one current VA loan at any given time.
This blog is only a brief overview of the benefits of VA loans in NH. For more details on this loan program, contact Donna DuFour at Accurate Title via phone at 800-639-4405 or email firstname.lastname@example.org.