The following is a quick list of reasons why a VA loan may be your best option:

  • No down payment required
  • VA funding fee may be financed in the loan
  • VA Loans do not require perfect credit –there is no credit score cut-off
  • VA funding fees may be waived for Veterans with VA rated service-connected disabilities and surviving spouses of Veterans with service-connected disabilities
  • Closing costs may be shared between the buyer and lender
  • Flexible mortgage types – fixed, hybrid and traditional ARMs
  • No mortgage insurance premiums – this is huge in today’s housing market
  • VA guaranteed mortgages are assumable
  • No pre-payment penalties
  • Homes are inspected and appraised by VA prior to approval and/or during construction
  • VA can offer assistance to Veteran borrowers in default due to temporary financial difficult
  • Refinance and Interest Rate Reduction loans are available

All in all, the pros far outweigh the cons. And, considering there are very few “no-down payment” mortgage options around that offer lower associated fees, using your VA home loan benefit seems like a no-brainer – as long as the red tape doesn’t scare you.