You’ve served our country, and now you want to fulfill the American dream of homeownership. Fortunately, your dedication to your country provides exclusive benefits when it comes to buying a home.

U.S. Veterans, Service Members, and select military spouses may be eligible for a VA Loan. Created by the U.S. government in 1944 to help service members purchase a home without any down payment, VA Loans have helped over 24 million veterans, active-duty military, and their families purchase and refinance a home.

The benefits of a VA Loan include:

0% Down – While conventional loans can require as much as 20% of the purchase price as a down payment, VA Loans are among the few 0% down home loans available.

No PMI – Typically lenders will require a borrower to pay an insurance premium for private mortgage insurance (PMI) for borrowers who finance more than 80% of the home’s value. Backed by the government, VA Loans don’t require PMI, which eliminates that additional monthly expense.

Competitive Interest Rates – VA loans benefit from the full backing of the federal government, which leads to greater investor interest and confidence in purchasing the securities made up of VA loans.  This helps to explain why VA loans typically have lower interest rates than conventional loans, which do not have a government guarantee.

Easier to Qualify – VA guidelines are generally less rigid than those for conventional loans, allowing no money down to purchase and, in some cases, accepting lower credit scores and higher debt-to-income ratios.   

To learn more about VA Loans and get pre-qualified, call our home loan experts at 888-LOAN-391.

Can I refinance my current loan to a VA Loan?

Qualified borrowers may consider refinancing their existing home loan with a VA Home Loan. The VA Loan program offers two types of loans to help homeowners lower their rate or take cash out for a variety of needs.

VA Loan refinancing options include:

VA Streamline Refinance (IRRRL) – Existing VA Loan holders can take advantage of a VA Streamline refinance through an Interest Rate Reduction Refinance Loan (IRRRL). This type of loan allows the borrower to quickly and easily refinance into a lower rate and lower monthly payment.

The benefits of a VA Streamline refinance include little to no out-of-pocket costs and, in most cases, no appraisal required. 

Cash-Out Refinance – Those with a VA or a conventional loan can use this loan to take advantage of their home’s equity to access cash for a variety of reasons, including: home improvements, emergencies, and debt consolidation.  Although it is referred to as a “cash-out refinance,” homeowners aren’t required to take cash out. They can use this type of loan to take advantage of a lower rate. Guidelines and requirements will vary by lender.

We’re here to serve those who’ve served. If you live, work, workship, volunteer or attend school in Harford or Cecil County, and are U.S. veteran, service member, or military spouse, let APGFCU help get you into an affordable VA Loan and your new home.

Contact an APGFCU home loan expert at 888-LOAN-391 for more information.