FREQUENTLY ASKED QUESTIONS FOR KENTUCKY VA MORTGAGE LOANS

Featured

 

 

photounnamed (28)

 

 

WHAT IS A VA GUARANTEED LOAN?

VA guaranteed loans are made by private lenders, such as banks, credit unions, or mortgage companies to eligible veterans for the purchase of a home, which must be for their own personal occupancy. Veterans apply for a loan through a lender and if the loan is approved, VA guarantees a portion of the total loan amount. VA’s guarantee allows the veteran to obtain a competitive interest rate without having to make a downpayment. The amount of a loan a veteran can be approved for depends on the property location and entitlement available, as well as credit and income factors. Please contact a VA-approved lender for assistance in determining the loan amount that you may qualify for.

VA LOANS OFFER THE FOLLOWING IMPORTANT FEATURES:

Equal opportunity for all qualified veterans to obtain a VA loan.
No down payment (unless required by the lender or the purchase price is more than the reasonable value of the property).
Buyer informed of reasonable value.
Negotiable interest rate.
Ability to finance the VA funding fee (plus reduced funding fees with a downpayment of at least 5% and exemption for veterans receiving VA disability compensation).
Closing costs are comparable with other financing types (and may be lower).
No mortgage insurance premiums.
An assumable mortgage.
Right to prepay without penalty.
For homes inspected by VA during construction, a warranty from builder and assistance from VA to obtain cooperation of builder.
VA assistance to veteran borrowers in default due to temporary financial difficulty.

VA DOES NOT DO THE FOLLOWING:

Guarantee that a home is free of defects. VA guarantees only the loan. It is the veteran’s responsibility to assure that he/she is satisfied with the property being purchased. The VA appraisal is not intended to be an “inspection” of the property. A veteran should seek expert advice (a qualified residential inspection service), as necessary, BEFORE legally committing to a purchase agreement

.If you have a home built, VA cannot compel the builder to correct construction defects although VA does have the authority to suspend a builder from further participation in the home loan program. VA cannot guarantee that a veteran is making a good investment. VA cannot provide a veteran with legal services.

HOW DOES A VETERAN OBTAIN A VA GUARANTEED LOAN?

Contract to purchase: Veteran selects home and discusses purchase with seller or selling agent and signs purchase contract conditioned on approval of a VA guaranteed loan. Loan application: Veteran selects lender, presents Certificate of Eligibility, and completes loan application.

Lender will develop all credit information and request VA to assign a licensed appraiser to determine the reasonable value for the property.
veteran will pay for credit report and appraisal unless the seller agrees to pay.
Either VA or the lender will issue a value for property for loan purposes based on the appraisal.

Loan decision: If the established value is acceptable to all parties and the lender develops that a veteran is credit and income qualified, the loan may be approved. Most lenders are authorized to make this decision. Loan closing: Veteran (and spouse) attend the loan closing and sign the note, mortgage, and other related papers.

The lender or closing attorney will explain the loan terms and requirements as well as where and how to make the monthly payments. When the loans reported to VA, the Certificate of Eligibility is annotated to reflect the use of entitlement and returned to the applicant. (The loan closing procedure may vary in some states.)

HOW CAN I OBTAIN MORE INFORMATION ABOUT VA HOME LOANS? Call VA at 1-877-827-3702 or visit VA’s web site at or contact a local lender or real estate professional.

http://www.benefits.va.gov/homeloans/resources_veteran.asp

 

 

http://www.emailmeform.com/builder/form/0bfJs9b6bK8TGoc6mQk9hIu
 
Joel Lobb (NMLS#57916)
Senior  Loan Officer
 
American Mortgage Solutions, Inc.
10602 Timberwood Circle Suite 3
Louisville, KY 40223
Company ID #1364 | MB73346
 


Text/call 502-905-3708
kentuckyloan@gmail.com

http://www.nmlsconsumeraccess.org/
Disclaimer: No statement on this site is a commitment to make a loan. Loans are subject to borrower qualifications, including income, property evaluation, sufficient equity in the home to meet Loan-to-Value requirements, and final credit approval. Approvals are subject to underwriting guidelines, interest rates, and program guidelines and are subject to change without notice based on applicant’s eligibility and market conditions. Refinancing an existing loan may result in total finance charges being higher over the life of a loan. Reduction in payments may reflect a longer loan term. Terms of any loan may be subject to payment of points and fees by the applicant  Equal Opportunity Lender. NMLS#57916 http://www.nmlsconsumeraccess.org/
 
— Some products and services may not be available in all states. Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice. The content in this marketing advertisement has not been approved, reviewed, sponsored or endorsed by any department or government agency. Rates are subject to change and are subject to borrower(s) qualification.

 

 

Louisville Kentucky Mortgage Loans

View original post

Advertisements

FREQUENTLY ASKED QUESTIONS FOR KENTUCKY VA MORTGAGE LOANS

Featured

Kentucky VA Mortgage Lender

TEXT OR CALL 502-905-3708 WITH YOU KENTUCKY  VA HOME LOAN QUESTIONS.

 

 

 

FREQUENTLY ASKED QUESTIONS FOR KENTUCKY VA MORTGAGE LOANS

What Does Having Basic Entitlement of $36,000 Mean?
The $36,000 does not represent the maximum loan amount you can obtain through the VA Home Loan Program. The figure merely provides evidence to your lender that you have full VA entitlement.
With this entitlement and underwriter approval, you can obtain a loan in an amount up to $417,000; some high cost counties have even higher limits.
I Now Have My COE, What Do I Do Next?
 Contact any VA approved lender and start the loan process. Do note that the COE does not guarantee you a VA loan; you still must qualify based upon your income and credit.
 
How Do I Apply For a Loan?
VA does not do any direct lending, and as such VA does not accept loan applications from veterans. You must contact a VA approved lender in order to apply for a VA loan. For more information about VA loans, visit www.benefits.va.gov/homeloans/.
 
What is the VA Interest Rate?
VA does not establish interest rates or closing costs for VA loans. Rates are negotiable between you and your lender. It is advisable to obtain quotes from at least three different lenders.
What is the Minimum Credit Score Required for a VA loan?
VA has no minimum credit score requirement. However, the lender you choose to do business with may have such a requirement.
 
What Types of Property Does My COE Cover?
The VA Home Loan program guarantees loans for real property that is to be used by the veteran as a primary residence. The program does not cover vacation homes, vacant land, multiplexes in excess of four units, motorhomes, small business loans, or commercial buildings.
 
Can I Use My VA Entitlement to Refinance?
Yes. You can refinance any type of loan on your property using your VA entitlement.
 
 
Why Does My COE Reflect a Paid-in-Full Loan With No Restoration of Entitlement?
In order for entitlement to be restored, the prior VA loan must be paid in full and the property disposed of. If you no longer own the property, please state as such on your application form 26- 1880 and resubmit. Do note that you can obtain a restoration of entitlement without disposing of the property when the loan is paid in full on a one time basis

4454e-object_preapproval.gif

 

 

Benefits.gov Basic FHA Insured Home Mortgage Update

 

 

Source: Benefits.gov Basic FHA Insured Home Mortgage Update