VA home loans are provided by private lenders, including banks and mortgage companies.

VA loans often require no down payment and have lower closing costs, helping you save money as you work toward homeownership. Other VA loan features include:

● No prepayment penalties

● No private mortgage insurance (PMI)

● 100% financing with full VA entitlement*

● Fixed- and adjustable-rate mortgages

● VA financing fees that are included in the loan amount

● Several different types of properties are eligible, including townhomes and VA-approved condos

*A down payment is required if the borrower does not have full VA entitlement, or if the loan amount is greater than $417,000.

After you have obtained your Certificate of Eligibility, you can qualify for the following VA loan programs:

Adjustable-Rate Mortgage

If you’re currently serving in the military and have a chance of relocation in the next few years, an adjustable-rate mortgage (ARM) may be a good fit. ARMs include lower introductory interest rates that can change after the initial fixed-rate period. Your monthly payments could change depending on market changes after this fixed-rate period, due to interest rates increasing or decreasing.

Fixed-Rate Mortgage:

These protect you against rising rates and ensures the rate stays the same for the entire term of your loan. You can choose a 30- or 15-year loan term. 15-year loan terms have higher monthly payments, but allow you to build home equity faster.

You can use that equity later as a down payment for your next home, or for a future cash-out refinance. Fixed-rate solutions are best if you plan on staying in your home for a longer amount of time.

Cash-Out Refinance

If you already own your home, a cash-out refinance may be just what you need to pay for college tuition, pay off debt, or make major home improvements. This allows you to take cash from of your home equity by replacing your existing mortgage with a new loan that is more than the amount owed. You can also refinance a non-VA loan into a VA loan using this option.

Interest Rate Reduction Refinance Loan

This type of loan may help lower your interest rate and reduce your monthly payments by refinancing your current VA loan. IRRRLs also allow you to refinance an adjustable-rate mortgage into a fixed-rate mortgage. Note: you cannot receive cash from loan proceeds with an IRRRL.