Virginia VA Loan Requirements has the most lenient mortgage guidelines versus any other loan program in the nation. VA loans is the mortgage loan of choice but is only limited to active and/or retired members of the U.S. Military with a valid certificate of eligibility. There is no down payment requirement and no annual mortgage insurance premium on VA loans. VA loans has no maximum loan limit. There is no minimum credit score requirement or maximum debt to income ratio cap on VA loans.
Buying A Home In Virginia With A VA Loan
Virginia is one of the fastest-growing states in the nation. Unlike Florida, Texas, Georgia, Colorado, Kentucky, Michigan, Pennsylvania, New Jersey, and countless other states, Virginia has not seen a double-digit appreciation of home prices. However, with the major shortage of homes versus demand, Virginia home values are destined to go up in value in the coming months. Virginia also has seen a huge wage of veterans of our military migrate to this great state. With the economy growing, the major demand for jobs, lower home prices, and a great school system, all counties of Virginia are attracting our military veterans to call this Great State Home. Gustan Cho Associates is a national mortgage company with no overlays on VA Home Loans and licensed in the state of Virginia. Qualifying for VA loans in Virginia with a lender that has no lender overlays.
Virginia VA Loan Requirements For First-Time Homebuyers
There are many VA Loan Programs that are available for Veterans of the United States Military who have a Certificate of Eligibility. VA Loan Programs are for Veterans with a valid Certificate of Eligibility, often referred to as COE.
Here are the benefits of VA Loan Programs:
- Veterans with COE who are first time home buyers
- Borrowers with COE who are seasoned homeowners selling and buying a new home
- Homeowners who plan on doing a 100% cash-out refinance on their existing home
- Homeowners who are planning on refinancing their current home for a lower interest rate so they can lower their payments
- Disabled Veterans who need to make their current home accessible for their disability
Virginia VA Loan Requirements and Benefits of VA Loans
VA Loans is the best mortgage loan program in the United States:
- No down payment is required on a VA home purchase loan
- Mortgage rates are extremely competitive
- VA Loans also does not have mortgage insurance requirements like other loan programs
How Can I Qualify For VA Loans in Virginia? Veterans With VA Certificate of Eligibility
However, VA Loans are limited to Veterans with a valid Certificate of Eligibility or COE. Here are the benefits of VA Loan Programs:
- No down payment is required
- VA Loan Programs is available for only owner occupant primary homes only
- Second homes and investment homes do not apply
- Buyers can buy a single-family home, condominium, townhome, and two to four-unit properties
- Veteran homeowners with a valid COE can refinance their current home mortgage
- Can do a 90% cash-out refinance on single-family homes
Home Purchase VA Loan Programs
Home Purchase VA Loan Programs allow Veterans with a valid Certificate of Eligibility to purchase an owner-occupied primary single-family home, condo, townhome, or two to a four-unit property with zero down payment. A VA Loan is one of the great benefits only Veterans get for their service to their country where others do not get this privilege.
Features of VA Loans Versus Other Mortgage Options
Other great benefits of VA Loan Programs are the following:
- VA Loans do not require mortgage insurance premiums like FHA Loans
- Conventional Loans require private mortgage insurance on loan to value is greater than 80% LTV
- VA Loans do have a one time VA Funding Fee
- But the VA Funding Fee can be rolled to the Loan balance
- VA Loans offer the lowest interest rates
- Rates are lower than Conventional Loans
- VA Loan Limits are the same as those of Conventional Loans
- VA loans can be reused over and over for home buyers
- They are not just limited to a first time home buyers
- Allows sellers concessions of up to 4% to home buyers
- Borrowers can purchase a home with absolutely zero money out of pocket with the combination of no down payment for the home purchase and no closing costs
- This is because closing costs can be covered by sellers concessions and/or lender credit
- VA Loans are assumable
Virginia VA Refinance Mortgage Loan Requirements
Below are the VA refinance mortgage loan options:
- Rate and term full credit/income refinance
- Cash-Out Refinance VA Loan Programs
- Interest Rate Reduction Refinance Loan VA Loan Programs which is also commonly referred to as IRRRL
VA Cash-Out Refinance
The VA Cash-Out Refinance program allows Veterans with a valid COE to do a cash-out refinance loan with a VA Loan.
Here is how Cash-Out Refinance VA Loan Programs work:
- The existing mortgage does not have to be a VA Loan
- Need to meet all VA Lending Guidelines
- VA allows up to 100% LTV cash-out refinance
- Borrowers will be hit with a VA Funding Fee for refinancing
- VA Funding Fee can be added to the Loan balance
- Borrowers can do anything they need to do with the cash out from the VA refinance mortgage
Proceeds can be used for the following:
- vacation
- pay down a second mortgage or HELOC
- remodeling to their home
- purchase a car
- consolidate debts
- use funds for investments
- pay down credit card debts
- purchase a second home
What Is The VA Interest Rate Reduction Refinance Loan Or IRRRL?
The Interest Rate Reduction Refinance Loan Program also referred to as IRRRL:
- It is a Streamline Refinance VA Loan Program that is only available for homeowners who already have a current VA Loan
- Homeowners who want to refinance their VA Loan into another VA Loan with limited documents to lower their mortgage rates
- This reduces their monthly mortgage payment
- Veterans with an existing fixed rate VA mortgage can refinance into another lower rate fixed rate VA Loan
Veterans with an adjustable-rate mortgage, ARM, can refinance their ARM VA Loan into a fixed-rate loan.
VA IRRRL (VA Streamline Refinance)
Here are how Interest Rate Reduction Refinance Loan Programs work:
- The current loan needs to be a VA Loan
- IRRRL needs to be a VA Loan being refinanced into a new VA Loan where the borrower has already used a VA entitlement
- A new home appraisal is not required with IRRRL
- No credit scores are necessary
- The only thing required is that the current mortgage has been paid on time
- 12 months on-time payments on the current mortgage is required
- Can only do a rate and term refinance
- Cash-out refinance is not permitted with IRRRL
- Certificate of Eligibility:
- A new COE is not required on an IRRRL
- No money out of pocket is required by homeowners
- Closing costs can be rolled into the new loan or a lender credit can be given
- The funding fee is .05% on an IRRR
Mortgage Borrowers interested in qualifying for a VA Loan in Virginia, please contact Gustan Cho Associates at 800-900-8569 or text us for a faster response. Or email us at gcho@gustancho.com. We have no overlays on VA Loans. We just go off the automated finding per Automated Underwriting System. We are available 7 days a week, evenings, weekends, and holidays to take your VA Loan inquiries.
