Benefits of VA Home Loans for Apopka FL Home Buyers
Veterans serve our country bravely and faithfully. It’s only fitting that veterans should have access to some special home loan programs to make home buying more convenient and affordable. VA loans are a great loan program with many appealing features. Below are some of the benefits of VA home loans for Apopka FL home buyers.
What Are VA Home Loans
VA home loans are a special mortgage program. The loans are actually provided by private mortgage companies, but the federal government guarantees the mortgages (through mortgage insurance). This shields lenders from losses (up to a certain amount) should a borrower default on a loan. By absorbing some of that risk, lenders can offer some flexible loan terms under the program.
Features of VA Home Loans
VA home loans offer great benefits not easily found in other mortgage programs. For example, veterans can finance the full purchase price of a home (100% financing),… no down payment is required. Like most mortgages, however, the home must appraise for the full purchase price. Certain closing costs can be rolled into the mortgage balance. In fact, some home repairs can be rolled in as well! Closing costs, in general, are comparable to other loan programs. Monthly mortgage payments are made more affordable with the elimination of monthly mortgage insurance premiums. Lastly, VA mortgages have no pre-payment penalty and are also assumable by a future buyer. Combined, these greatly benefit veteran home buyers in Apopka, Florida.
VA Loan Qualification Criteria
To qualify for a VA home loan, veterans must meet certain requirements. First, lenders must confirm a buyer’s veteran status (length and type of service). Secondly, veterans must qualify financially based on income, debt, and credit history. The best starting point is to contact a local lender and obtain a free pre-approval and other important information on this program.
More on VA Home Loans for Apopka FL Home Buyers
VA home loans for Apopka FL home buyers do have a few challenges worth noting. For example, in multiple offer situations, sellers will view buyers with large down payments more favorably than those with 100% financing. Additionally, some lenders may need a little more time to process a VA loan compared to a conventional loan. It is important to work with an experienced real estate agent who can properly position your offer to a seller and minimize the impact that these factors may have. Arrowsmith Realty is proud to assist our local veterans with their home buying needs. Please contact us anytime at 407-992-8955.