If your head?s been barricaded in the sand, you may have missed the recent borage of mortgage refinance advertising. However, if you are a qualified veteran, you?d be wise to consider all of the VA streamline refinance benefits first. In fact, let?s take a moment to compare the differences between the VA streamline refinance and conventional mortgage refinance, before you apply for your loan.
First and foremost, conventional underwriting guidelines does not consider the needs of veteran borrowers. Loan guidelines are restrictive and may include higher interest rates, lower LTVs, strict credit prequalification, sizeable out-of-pocket costs, and a penalty for prepaying the loan. In short, conventional borrowers are bombarded with significant amounts of paperwork and left playing the waiting game in many cases.
To the contrary, a VA streamline refinance, also known as an Interest Rate Reduction Loan (IRRL), is very borrower-friendly and accommodating. The first thing that veterans should focus on is that VA loans are specifically designed to meet their needs. Typically, there are less documentation and eligibility requirements, including no appraisals (upside down equity is okay!), no asset verification or credit review. Veterans with fico scores below 640 also have an opportunity to apply and receive financing approval! But these things aren?t the only benefits of a veteran refinance loan. Veteran?s can expect to pay no out-of-pocket costs and may even be able to defer two loan payments or roll closing costs into the refinance transaction. Traditional mortgage products simply cannot compete. Dollar for dollar, mortgages specifically designed for veterans are the better value.
And if you thought these loans were only good for the service members and their families, think again. Perhaps not surprising, financial institutions have a good incentive for writing VA loans. Since 1944, the Veteran?s Administration Department has guaranteed the repayment of a portion of all veteran mortgage loans. Therefore, the lender has an incentive (limited risk) to give you the best rate possible. And without question, a veteran loan interest rate will be lower than its conventional rival.
These differences are glaring, which is why the VA loan is so attractive. If your objective is to lower your mortgage interest rate and save on out-of-pocket expenses, all with little or no hassle, a VA streamline refinance is waiting for you. For more information on these and other veteran loan products, contact the nearest VA-approved lender or visit the Veteran?s Administration Department website.
VA Home Loan program makes it easier for veterans to qualify for home financing with less stringent income and credit qualifications; just check out and you may also check out va streamline, va loan requirements.
west virginia football west virginia football black friday violence black friday violence il postino il postino online black friday deals
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.