May is National Military Appreciation Month and we remember those who have died serving our country in the armed forces on Memorial Day. As we think about Veterans, we want to take a moment to share all of the options available regarding Home Loans for Veterans in Dallas.
At The Tuttle Group, we are proud to help Service Members and Veterans in the Dallas area achieve the American Dream of being a homeowner. Home loans for Veterans are backed by the Department of Veterans Affairs (VA). The VA provides affordable home financing options for eligible Service Members, Veterans, and surviving spouses. If you’re a military veteran or still in active duty, you may qualify for a VA home loan in D-FW.
Interested in a home loan for Veterans in Dallas? Contact The Tuttle Group today.
Benefits of a VA Loan
There are many benefits of a VA loan for those who qualify. Typically a VA home loan doesn’t require a down payment* and offers lower closing costs. Other benefits of home loans for Veterans include:
- No down payment with full VA entitlement*
- Low closing costs
- VA financing fees can be “rolled” into the loan amount
- No private mortgage insurance (PMI)
*A down payment is required if the borrower does not have full VA entitlement, or if the loan amount is greater than $424,100
VA home loans include both fixed- and adjustable-rate mortgages. There also are a variety of eligible property types, including townhomes and VA-approved condos.
VA Loan Eligibility
To be eligible for a VA loan, you must first obtain a valid Certificate of Eligibility (COE). This is based on length of service, duty status and character of service. Active duty service members, including those serving overseas, also are eligible.
Those who qualify for a VA home loan include:
- Active duty service members
- Veterans
- National Guard
- Reserves
- Surviving Spouses
Misconceptions about VA Home Loans
There are some misconceptions about home loans for veterans that we want to clarify. Some believe that a VA loan takes a long time. But that’s simply not the case. At The Tuttle Group, we’re accustomed to working with Veterans in the Dallas-area who want to buy a home. That means we know what we’re doing and we can close VA loans in 21 business days. It’s also good to know that eligible borrowers may have multiple VA loans at the same time. You’re not limited to one VA loan.
Available VA Home Loan Programs
There are a number of type of VA home loan programs available.
Adjustable-Rate Mortgage
If you are currently serving in the military with a chance of relocating in the next few years, the flexibility of an adjustable-rate mortgage (ARM) could be the right option for you. ARMs offer lower introductory interest rates that can change after the initial fixed-rate period. Depending on market fluctuations after this initial fixed-rate period, your monthly payments could change due to rates increasing or decreasing.
Fixed-Rate Mortgage
Fixed-rate mortgages protect you against rising rates since the interest rate remains the same for the entire term of the loan. You can select a 30- or 15-year loan term. The main difference is the 15-year option has higher monthly payments, which also means you are building home equity faster. Keep in mind you can use equity as a down payment for your next home or a future cash-out refinance. If you plan on staying in your home for a longer time frame, a fixed-rate mortgage could be the right solution for you.
Cash-Out Refinance
If you’re already a homeowner, a cash-out refinance may help you pay for major expenses like college tuition, debt or home improvements. This option allows you to take cash out of your home equity by replacing your current mortgage with a new loan that is more than the amount owed. You can also refinance a non-VA loan into a VA loan with a cash-out refinance.
Interest Rate Reduction Refinance Loan
An interest rate reduction refinance loan (IRRRL) may help lower your interest rate and reduce your monthly payments by refinancing your existing VA loan. You can also refinance an adjustable-rate mortgage (ARM) into a fixed-rate mortgage with this option. However, you cannot receive cash from loan proceeds with an IRRRL.
Interested in a home loan for Veterans in Dallas? Contact The Tuttle Group today. We’re you friend in home finance.
