Most Americans are familiar with the U.S. Department of Veterans Affairs (VA), but mainly for the health-care services it offers to U.S. service men and women through the Veterans Health Administration. Fewer realize that the VA can also help a service person get the keys to their dream home or enjoy reduced interest rates for the duration of their mortgage loan. Nationwide Home Loans offers VA loans as part of their expansive line of lending products, all of which are geared toward providing you and your family with the best home loan rates in Florida.
VA loans have a range of benefits. Not all benefits are available to all service members, and eligibility depends on length of service and duty status.
Purchase loans provide competitive interest rates and also help service members get access to credit when it may not be available through traditional avenues. Nationwide Home Loans offers these VA-backed loans. While we finance your loan privately, the VA stands behind the loan to guarantee repayment. This “insurance” policy allows us to offer you lower rates as well as other great benefits such as no down payment, no requirement for mortgage insurance, and caps on closing costs. VA purchase loans are available to all home buyers, not just first-time purchasers.
The same purchase loan that can help you get into your home is also offered as a cash-out refinance loan to use your equity pay down debts, pay for your children's college education, or cover other expenses. These loans are covered for up to one-hundred-percent of your home's value.
Interest Rate Reduction Refinance Loan
Another VA loan product is the Interest Rate Reduction Refinance Loan. This loan can help you lower your interest rate by refinancing your existing VA home loan. Lower interest rates mean lower monthly payments and more cash in your pocket. This benefit even allows for the switch of an adjustable-rate mortgage into a fixed-rate mortgage. In addition to protecting you to sudden changes in interest rates, this benefit also allows you to plan for the unexpected—like a long-term stay in a home that you thought would be a short-term flip. Remember that switching to a fixed-rate loan may increase your interest rate. Fees incurred in the refinancing process can also be rolled into your new loan.
Native American Direct Loan
This specialty VA loan program is available to Native American veterans. It can be used to finance the purchase of an existing home, build a new home, or make improvements to an existing home so long as the property is located on Federal Trust Land. Interest rates are set at four percent (though subject to change based on market conditions), and the loan includes no down payment, requires no private mortgage insurance, and features limited closing costs. Unlike other VA loan programs backed by the VA but offered through private lenders, the Native American Direct Loan comes explicitly through the VA.
Disabled Veteran Housing Grants
Other direct support programs through the VA are housing grants for disabled service men and women. These grants help those who acquired disabilities while serving their nation by providing cash to make specially adapted homes, whether through modification or ground-up construction. Two programs exist: Specially Adapted Housing (SAH) and Special Housing Adaptation (SHA).
SAH grants support construction of homes on new land or remodeling of an existing home owned by a veteran. They can even pay off principal from an existing mortgage balance. SHA grants can pay for the adaptation of a home in which the veteran lives but is owned by a family member, or for adaptation of a home prior to purchase by a family member.
At Nationwide Home Loans, we think it's important that you know all your options before deciding on a mortgage lender. That's why we love to give you all the information you need, whether it's on the phone with one of our knowledgeable staff or via the Web. Whatever your questions are, we're happy to answer them. We will pursue any avenue available to help find a way to make your dreams of home ownership a reality.