Military service takes incredible dedication, and the government backs the VA home loan to recognize this service. The loan was created to help dedicated military personnel gain access to homeownership. The Veteran’s Administration home loan offers very favorable terms for home financing. This mortgage brings significant benefits for qualified individuals, that you won’t find in other mortgage types. If you’re looking to finance a home purchase locally in the Chambersburg area, including Shippensburg, Fayetteville, and Greencastle, PA, and you have a military background, this loan may be perfect for you.
How Do VA Loans Work?
The Department of Veterans Affairs stands behind these home mortgages made just for military members and veterans, and VA support allows mortgage lenders to offer great terms for the loans. The VA mortgage is one of the best deals going if you qualify from your military service. This mortgage option can help a military family move into their first home or a new home while saving a significant amount of money over other types of home loans. With the savings offered by the VA loan, you’ll have more funds for your other costs of living, while you enjoy your new home.
Candidates for the VA Home Loan
Both veterans and active-duty military may qualify for the VA home loan. If you’re in the Reserve or National Guard, you may qualify as well. Surviving spouses of military personnel may also benefit from this low-cost VA mortgage. Other qualifications include a good-to-average credit score, reliable and sufficient income, and you must present a COE (Certificate of Eligibility) for this loan. VA loans may only be used to purchase your primary home where you will reside.
VA Mortgage Advantages
What makes the VA home loan so unique and beneficial is that no down payment is typically needed for this mortgage. Mortgage insurance is also not required, as it is on most other loan types with down payments under 20 percent. This eliminates two obstacles to homebuying and can allow you to get into a home quicker (without waiting to save up a down payment) and also enjoy lower monthly payments (without the typical mortgage insurance added).
If you later decide to make extra house payments or make a lump sum payment, there is no pre-payment penalty for a VA loan. Occasionally, a lender may ask for a deposit in special, infrequent circumstances. For instance, if the home you’re looking to purchase is priced above its current value. You can opt to make a down payment, as well, to bring down monthly payments and wrap the VA loan funding fee into the mortgage loan.
With a VA mortgage, your service has made you a good risk and lenders are confident you will make your house payments—so they offer low interest rates, which are negotiable as well. If you do fall on hard times, VA offers assistance programs that can help you stay in your home until you catch up. You’ll also save on closing costs, and in some cases, the home’s seller may pay these for you.
Find Out if You Qualify for a VA Loan
To learn for certain if you qualify for the Veteran’s Administration housing loan, talk to the team at Homespire Mortgage. Before you start shopping for a new home in the Chambersburg area, our friendly experts will help you apply for financing in a stress-free environment. We believe in making the application process simple and stress-free for local residents in the Chambersburg area of PA. We serve multiple boroughs of Franklin County, including Greencastle, PA, Fayetteville, PA, Mont Alto, PA, Shippensburg, PA, Mercersburg, PA, and Waynesboro, PA. There’s no time like the present to get started.