Traditional Mortgages

Understanding Traditional Mortgages
FHA Loans
VA Loans
Understanding Home Equity
Borrowing Against Your Equity
Helpful Steps to Take Before Buying a Home
What You Should Know About Predatory Lending
Additional Resources

VA Loans

VA loans are a benefit earned by veterans and current service members of the military. The VA loan is one of the most popular loan programs in America. Since the end of World War II more than 14 million veterans and military members have bought homes with the aid of VA loans.

The VA (Department of Veterans Affairs) doesn’t actually offer loans. It simply insures loans that are written by banks and mortgage companies. This is similar to how an FHA loan works with a few exceptions, the main one being that VA loans are only available for veterans and active members of the U.S. Military (and spouses – even widows, as long as they don’t remarry).

In most cases, VA loans require no down payment, so they allow many more home buyers to afford a home. They also require no private mortgage insurance and there are no prepayment penalties. Other benefits include qualification parameters that are sometimes easier than if you were applying for a conventional loan and sellers can pay all closing costs.

You may have heard that VA loans can be time consuming and confusing. Again, working with a reputable and knowledgeable lender is the way to find out if this type of loan will work for your individual circumstances and to make the loan process go smoothly.