McCarthy Thielman Realty
The U.S. Department of Veterans Affairs has helped countless veterans finance their home ownership goals. While you have the choice of a conventional loan offered by other mortgage lenders, there are some significant benefits to VA loans. Here are some of the most important advantages to consider:
The most famous benefit of VA loans is the lack of down payments. Homebuyers taking out a conventional loan typically need to pay around 3% of the home's purchase price up front as part of their loan terms. Even a small percentage can mean tens of thousands of dollars out of pocket. A VA loan will help you save this money instead of potentially draining your hard-earned savings.
Private mortgage insurance is required by lenders to protect them against the chance of you defaulting on your loan. Not only do these insurance policies have hefty upfront charges, the ongoing annual cost can last the entire life of your loan. Luckily, with VA loans, there is no requirement for private mortgage insurance, saving you money and time.
Mortgage lenders conduct a careful analysis of your financial profile when you apply for a loan. For most lenders, credit score requirements can be especially strict. Even if you qualify for a loan, a lower credit score might mean higher interest rates or private mortgage insurance premiums. VA loans don't have a credit score requirement, so no matter what state your credit is in, you can still be approved for a loan.
The same goes for debt-to income ratios. While VA lenders still consider DTI ratios in the approval process, the requirements are much more flexible and forgiving. Even with a high debt-to-income ratio, you can be approved for a VA home loan with other financial factors like credit score working in your favor.
These are only a few of the major benefits offered by VA home loans. Remember these factors if you're deciding between a VA or conventional loan so you can make the best decision for your situation.
Hi! I'm Brinda Thielman. Thank you for your interest in exploring Arizona real estate with me.
As a native Arizonian, I have seen the growth in the “Valley of the Sun” first hand. With over 30 years in the real estate industry, I know how challenging and intimidating buying and selling a home can be. That's where I come in! When I started my real estate career, I quickly found I loved every aspect of the home buying and selling process, from touring a home, researching the best mortgage loan for my clients, new construction details and even the negotiation and closing process.
In 2015, I help found McCarthy Thielman Realty, LLC. Today it is one of the leading boutique real estate firms specializing in North Phoenix real estate.
My mission is to help you accomplish your real estate goals and dreams - "I'll Lead You Home!"
Indicates a property listed by a real estate brokerage other than McCarthy Thielman Realty. All information should be verified by the recipient and none is guaranteed as accurate by ARMLS. Last updated 12/23/2024 01:46 AM.