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Is a VA Home Loan The Right Choice For You?

If you are a serving member of the military or the spouse of someone who is, and are seeking a mortgage in Nashville, then you could be eligible to take advantage of the savings and streamlined process offered by a VA home loan. It’s no secret that our service men and women often go beyond the call of duty in service to our country, so it is only fitting that the Federal government show some gratitude towards them. One of the ways they do so is by offering serving members of the military, veterans, and military spouses the opportunity to use a VA home loan to purchase or, in some cases, refinance a home. Let’s take a closer look to see if a VA Home Loan might be the right choice for you when you are looking for a mortgage in Nashville.

What is a VA Home Loan?

VA Home Loans were first introduced via the GI Bill in 1994. They are mortgages that the U.S. Department of Veterans Affairs guarantees, although they are not issued by the VA but rather by a bank, a credit union, or some other mortgage lender.

You could use a VA home loan if you are looking for a mortgage in Nashville for any ofthe following reasons:

• Purchasing a Home
• Refinancing for a Cash-Out
• Refinancing for a Lower Interest Rate
• Loans for Renovation and Rehab of a Property

Who Qualifies For a VA Home Loan?

If you think a VA Home Loan might be the best type of mortgage in Nashville to pursue, the next step will be to find out if you qualify for the program. You will likely be eligible if you fall into one of the following categories:

• An Active Duty Military Service Member or Veteran With The Minimal Service Length Requirement
• The Spouse of a Veteran or an Active Duty Military Member
• The Surviving Spouse of a Service Member Killed in Active Duty or Due to Disability Caused in the Line of Duty
• Spouses of Service Members Classed as MIA or a POW

In addition to belonging to one of these groups, you may also need to satisfy someother requirements, such as the lender’s credit and income requirements. It is alsonecessary for the property you intend to buy to meet all building codes and safety standards. The property also needs to be your primary residence if you are purchasing using a VA loan.

What Are The Benefits of a VA Home Loan?

One of the most important things for us here at Flat Branch Home Loans, The Erica Kelley Group, is ensuring that when taking out a mortgage in Nashville, you get the loan that best fits your individual needs. That means you need to know the benefits of choosing a VA Loan. There are many reasons why a VA loan might be an attractive option. Some of these include:

• VA home loans do not require a down payment.
• Mortgage insurance won’t be required.
• Since the government limits fees and prohibits specific closing fees, you canexpect to pay lower closing costs with a VA loan.
• You can get another VA loan later if you sell the home or repay your loan.

Drawbacks of a VA Loan

While many benefits come with a VA loan, like all things in life, there are somenot-so-great parts too. While you can save a lot of money by not having to pay a downpayment or mortgage insurance, the VA loan guidelines require you to pay a funding feeto cover the cost of foreclosure if you default on the loan. This is around 1.5% to 3.5% of the total loan amount and can either be paid upfront or included in the repayments. As noted above, you can only use a VA loan for a home that is your primary residence. Finally, you will be required to use a VA-approved appraiser to evaluate the house andensure it meets the minimum requirements for a VA home loan.

If you are a military service member interested in getting a mortgage in Nashville andthink a VA loan may be a good fit for you, get in touch with Flat Branch Home Loans, The Erica Kelley Group, to discuss your situation. We will look at all aspects of your life and financial position and match you with the perfect loan, whether that is a VA home loanor another option that is the better option for you.

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Human-Centred Mortgage Loans

Whether you are a Veteran, a first-time home buyer, looking to refinance, or everything in between, Flat Branch Home Loans, The Erica Kelley Group specializes in finding the right home mortgage for you. It is our honor to help you acquire something that is "yours."

Call 615-423-3095 or email ekelley@fbhl.com