ABOUT VETERANS ADMINISTRATION LOANS
VA loans are made by Fairway Independent Mortgage Corporation and guaranteed by the U.S. Department of Veteran Affairs (VA) to eligible veterans for the purchase or refinance of a home. The VA loan was designed to offer long-term financing to eligible American veterans or their surviving spouses.
A VA loan is generally available with no down payment and no monthly mortgage insurance, making this a great option for eligible veterans. Our military and VA loan experience can help you determine if this is the best loan for you.
VA Loan Eligibility
In order to be eligible for a VA loan, you must first obtain a valid Certificate of Eligibility (COE). Your COE is based on length of service or service commitment, duty status and character of service. Additionally, surviving spouses of eligible military members who died on active duty or as a result of a service-connected disability may retain the right to a VA home loan.
VA Loan Benefits
- No prepayment penalties
- No private mortgage insurance (PMI)
- 100% financing with full VA entitlement
- Fixed- and adjustable-rate mortgages
- VA financing fees can be “rolled” into the loan amount
- Variety of eligible property types, including townhomes and VA-approved condos
MORE ABOUT VETERANS ADMINISTRATION LOANS
To learn more about the Fairway Independent Mortgage Corporation VA loan program and its different options, please see the frequently asked questions below.
- Adjustable-Rate Mortgages
- Fixed-Rate Mortgages
- Cash-Out Refinance
- Interest Rate Reduction Refinance Loan
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 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.
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.
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.
Here at Fairway, we are proud to help our Service Members and Veterans achieve the American Dream of homeownership. Contact one of our loan officers to learn more and take the first step in securing a Veterans Administration loan today.
NEED MORE INFORMATION?
Request an appointment with our loan experts to get started withFairway Independent Mortgage Corporation today.