Budget101 Discussion List Archives Military Savings What was your experience with VA Loans?

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    • #301421

      We are contemplating using a va loan, but not sure if we should. can any of you inform us of your good or bad experiences with va loans? this is one thing you really want to be sure of before you jump in to it.

    • #430963

      what I have found so far is that with a va loan you end up paying more in the long run, and it seems to be higher payments every month. the only good thing about it so far is no down payment or very little one if any. i’m still looking for info about va loans.

    • #431058

      We are on our second VA loan and we love having one….alittle more paperwork but our intrest rate went down alot. i dont understand alot of it just know that we felt very secure with our loans…

    • #431229
      FreebieQueen
      Moderator

      @bleedingace 208024 wrote:

      We are contemplating using a VA Loan, but not sure if we should. Can any of you inform us of your good or bad experiences with VA Loans? This is one thing you really want to be sure of before you jump in to it.

      Here is a Legit site with LOTS of info on VA Loans:

      Loan Guaranty Home Loan Program Home

      Here is a VA Loan Calculator:

      VA Loan Calculator

      What’s Good about a VA Loan:

      • Equal opportunity.
      • 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 down payment of at least 5% and exemption for veterans receiving VA 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 county loan limits, which can change yearly, are available here:

      http://www.benefits.va.gov/homeloans/docs/2010_county_loan_limits.pdf

      To avoid paying more in the long run, figure out what your monthly Principal payment is (without the interest included) and make a double payment on the principal only. It will cut your loan length in Half, LITERALLY. When you include the extra amount (which is usually under $100- make sure you specify that the full amount of overpayment is to be applied to the PRINCIPAL only- or it won’t be and you won’t be paying down your actual loan amount.

    • #444474

      We have used a VA loan twice and without it would not have been able to purchase our homes. I consider it priceless!

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Budget101 Discussion List Archives Military Savings What was your experience with VA Loans?