(USMilitary.com Staff) There can be many perks to using a VA home loan for active duty and veteran members. Most notably, homes can be purchased with the absence of a down payment (or additional fees, like private mortgage insurance, though a funding fee will be charged without the former).
Using a VA loan can also mean additional protection, such as having your home approved for specific pitfalls. For instance, VA homes are famously absent from cracked concrete or chipping paint. These rules are put into place to keep veterans from purchasing homes that are unsafe or need large amounts of work to become livable. (If you want a project house, you’ll have to use a traditional home loan in order to do so.)
Veterans can also gain access to perks like an easier approval process and lowered interest rates. If you’re looking to purchase a home through the VA, take a look at these proven lenders in order to find the best deals possible.
Local Lenders – In most cases, local lenders will offer VA funding options. If you want to work with someone local or have a personal relationship with a lender, this is great news. It means you can gain access to a VA loan without being forced to use a national brand.
If you have a contact or are interested in borrowing local, talk to your lender and ask if they provide VA options.
Your Current Military-Friendly Bank – Another option for obtaining a VA loan is through your military-affiliated bank. Companies like USAA or Navy Federal offer home loans within most U.S. territories, including Hawaii and Alaska.
Better yet is that you already have established credit with the company, and access to their funds. Usually it just takes a little paperwork to receive your pre-approval letter.
National Veteran Lenders – Next, you can work with a nationally recognized veteran lending brand. Some of the most popular brands include, Pentagon Federal Credit Union, Veterans United Home Loans, and Veterans First Mortgage.
These companies are often preferred because they deal exclusively with veteran loans and are well-versed with all of the paperwork, which can become complicated or confusing for lenders who aren’t experienced in this category.
Other National Lenders – Finally, you can obtain veteran home lenders from national operating lending brands. However, be aware of any additional fees, which can add up over time. Work closely with your realtor and lender to ensure you’re getting the best deal possible.
In addition, credit companies allow you to get multiple quotes in a short period of time. That means you can allow several companies to pull your credit to get the best deal. It won’t count as more than one hard pull, so you can rest assured you’re getting the best rate possible.
Be sure to ask about additional fees during this process so you aren’t hit with any surprises down the line.
There are many positives that can come from using a VA mortgage for your upcoming home purchase, however, there are rules in place for a reason. Be sure to work with knowledgeable professionals to avoid overpaying in years to come.
