First Time Home Buyer - VA LOAN?

My husband and I are going to be first time home buyers and I want to do my homework and research and do this right and I thought i'd get everyone's opinions... we have the VA loan that we'd like to use and I have absolutely NO idea what the first steps are to get started with that, with pre-qualifying, all the necessities and logistics. I could really use some help! THanks!!

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  • 1 decade ago
    Favorite Answer

    Make sure you have your certificate and DD214 already so you can start the preapproval process. Consult a Mortgage Broker that can do a VA loan as not all of them do. A Mortgage Broker is going to negotiate you a lower interest rate as they have plenty of lenders who will compete for your loan. Keep in mind there is a funding fee of 3.3% but no mortgage insurance (MI) and no prepayment penalty, also a VA is a 100% one loan meaning you don't have an 80/20 loan. A typical 80/20 loan has a high interest rate on the 20% loan. None the less a VA loan is ideal and I highly recommend it. I hope this helps you in your decision process and if you need any help please email me tadgeman@yahoo.com.

    Source(s): Mortgage Consultant with State Financial Services, LLC
  • W. E
    Lv 5
    1 decade ago

    VA Loan Information: Visit the home page of the VA. http://www.va.gov/

    http://www.vamortgagecenter.com/

    The VA has increased their loan limits! The maximum loan amount in most cases is $417,000. The VA also offers some advantages over conventional loans:

    Other benefits of a VA Loan:

    1. No Down Payment required at closing

    2. Lower closing costs than conventional loans

    3. No prepayment penalty if you pay off your VA loan early

    4. No monthly Private Mortgage Insurance payment

    5. The lender is willing to negotiate your interest rate

    GOING TO THIS SITE, IS A MUST: http://www.homeloans.va.gov/veteran.htm

    IT HAS THE FOLLOWING HELPFUL INFORMATION FOR YOU, ALL ABOUT THE VA LOAN - Home Loan Guaranty Services

    1. Information on the Home Loan Program

    Disaster Advice for Veteran Homeowners

    Link To Online Videos for Veterans

    Short videos provide information on the VA Home Loan process.

    Pamphlets on the VA Home Loan Program

    On-line copies of VA Home Loan Pamphlets.

    Home Ownership Education for First Time Buyers

    Valuable information for first time home buyers from the Ginnie Mae Home Owernership Center.

    Frequently Asked Questions

    Answers to questions most frequently asked about he VA Home Loan program.

    About the Loan Guaranty Service

    The VA Loan Guaranty Service is the organization within the Veterans Benefits Administration charged with the responsibility of administering the home loan program. See an independent evaluation of the Loan Guaranty program here: Final Report | Final Report Appendices

    Information on Specially Adapted Housing for Disabled Veterans

    Information on the Specially Adapted Housing program for certain seriously disabled Veterans.

    VA Regional Loan Centers

    Addresses, telephone numbers and websites of our Regional Loan Centers.

    Contact VA Loan Guaranty Service

    E-mail, phone numbers and website addresses for the Loan Guaranty Service

    VA Approved Lenders

    This function has currently been taken down for an indefinite period of time. To find VA Approved Lenders in your area, please call your nearest Regional Loan Center, by clicking here. We apologize for any inconvenience.

    Interest Rate Reduction Refinancing Loans

    Have interest rates fallen since you obtained your VA loan? Do you have an Adjustable Rate VA loan that you want to convert to a fixed rate loan? The IRRRL program, also called the VA streamlined refinancing program, may be for you. No appraisal or underwriting is required and a certificate of eligibility is not necessary.

    If You Have Trouble Making Your Payments

    If you have a VA loan but are having trouble making your mortgage payments, it is very important that you take steps to avoid a foreclosure. VA may be able to help.

    Information for Elderly Home Owners

    Information for Elderly Home Owners covers Reverse Mortgages, Interest Rate Reduction Refinancing Loans, and Home Equity Fraud.

    VA Direct Home Loans for Native American Veterans Living on Trust Lands

    VA direct home loans are available to eligible Native American Veterans who wish to purchase or construct a home on trust lands.

    VA Benefits: 1-800-827-1000

    Burial, Civilian Health and Medical Program of the Department of Veterans Affairs (CHAMPVA)

    Death Pension, Dependency Indemnity Compensation, Direct Deposit, Directions to VA Benefits Regional Offices

    Disability Compensation, Disability Pension, Education, Home Loan Guaranty

    Life Insurance, Medical Care, Vocational Rehabilitation and Employment

    Education (GI Bill): 1-888-442-4551

    Health Care Benefits: 1-877-222-8387

    Income Verification and Means Testing: 1-800-929-8387

    Life Insurance: 1-800-669-8477

    Mammography Helpline: 1-888-492-7844

    Special Issues - Gulf War/Agent Orange/Project Shad/Mustard Agents and Lewisite/Ionizing Radiation: 1-800-749-8387

    Status of Headstones and Markers: 1-800-697-6947

    Telecommunications Device for the Deaf (TDD): 1-800-829-4833

    For health care services, contact your nearest VA medical facility.

    ON THE HOME LOAN: THERE ARE Pamphlets on the VA Home Loan Program

    http://www.homeloans.va.gov/pamphlet.htm

    Please be caredful, having many many ppl pullingyour credit - ok - use a Broker that can do the paperwork and has Lenders that do the VA financing - or go stright thru the VA, they have a list of lenders they will can refer you to.

    Why use a Broker?

    A broker underwrites for many company's (I underwrite for 150 companies) so I only have to pull credit 1 time, and they look at my credit. A single lender (not a broker) has programs available, but they may not be able to help you and your situation, so you go elsewhere, and than that person pulls your credit (see what I mean.) If you shop, your credit is pulled and that is considered a soft pull, for a 30 day period. Just like shopping for a auto, it is good for 30 days. If you apply for a credit card, that is considered a "hard" pull and it drags down your credit score. When looking for a home, please do not apply for a credit card, Department Charge Card, Gasoline Card or make any major purchases, like a auto, etc. This will pull your credit down.

    Also,

    Decide on how much you want to spend, if you want to escrow the taxes and insurance. Say the taxes are 1200 a YR and insurance 800 a year (just an estimate, ok) That is 2,000 a year divided by 12 = 166.66 If you paid 1,000 a month now - (166.66) your P/I Principle and Interest would be 833.34. Now you decided on the price range you are looking into. If you have great credit, a 1 loan at 130,000 at a rate of 7 percent over a 30 year time would be 864.89 - This is just a estimate - ok -

    It greatly depends if you need help with closing cost, (The seller could do Seller Help toward your closing cost). If that is the case, I normally tell my clients NOT to hackle over the price, since you are asking for closing cost help - especially if the home is thru a realitor, and the seller has to pay the realitor their fee which runs from 3-6 percent of the selling price, and you ask for 3-5 percent toward closing cost -assistance) Follow me so far??

    By the way, a loan application is called a 1003, and they will issue you a GFE (Good Faith estimate, with-in 3 days, that is per the RESPA laws, and the TIL (Truth in Lending). This will tell you the up-front closing cost (etc) associated with your loan. This is a estimate only - not the final - but it does help you figure things out.

    Good Luck, and if I can help in any way check out my web site, for links to all the credit reporting agency's and other useful information. I have many programs available, and lenders to choose from - to help you get the best rate available. From USDA Rural, Government loans, Conforming, Sup-Prime, Investment, Commercial just to name a few.

    Source(s): Wanda Ellis, Branch Manager Charterwest Mortgage, LLC 765-469-1975 cell 765-327-2065 fax/office wellis@charterwestmortgage.com www.mycharterwestmortgage.comp
  • Anonymous
    1 decade ago

    VA Loans are good.

    You can also find some good information for first time homebuyers at:

    http://www.first-time-homebuyers-loans.com

    Good luck,

    Greg

  • 1 decade ago

    Get a Realtor in the area you are looking to buy. They can guide you throughout the transaction, and can be fired if they do not suit your needs.

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  • 1 decade ago

    Call the VA; they will help you.

  • 1 decade ago

    well you need to know what type of loan you should opt for

    Source(s): this will help you-free useful articles and tips on almost any topic-http://www.free-articles.blogspot.com
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