Coastside Life Rotating Header Image

Real Estate News

VA Loans: Eligibility and Financing

Jan 11th, 2012
by Kathy Rain.
No comments yet

On average, VA loans are typically easier to qualify for than a conventional lending program. The program still provides significant financial benefits despite the fact that only a fraction of our nation’s veterans and service members have taken advantage of their benefits.

What is even worse, is according to a study by the Department of Veterans Affairs, nearly 20 percent of veterans don’t even know the program exists.

  • Qualifying for a VA loan
    VA loans are fairly easy to qualify for. Prospective buyers must have only:
    Served 181 days on active duty during peacetime or 90 days during wartime
    Served six years in the National Guard or Reserves
    Be the spouse of a fallen service member who died due to a service related injury.

Those who fall into one of those categories must take the next step of filling out a Certificate of Eligibility, or COE. This official VA document proves you are able to participate in the program and have met the service requirements. Applicants can obtain these through the VA directly or through an approved VA lender.

VA officials must look over the Certificate of Eligibility and ultimately determine whether a prospective borrower can participate.

The Department of Veterans Affairs doesn’t give explicit income or credit standards to qualify for the program, since the VA doesn’t issue the loan. Income and credit standards are given by VA-approved lenders, which generally require a minimum score of 620 to qualify.

Interest Rate Reduction Refinancing Loan (IRRRL)
The VA’s IRRRL, or streamline refinance, gives current VA home loan holders the opportunity to take advantage of the market’s low interest rates.
Prospective borrowers should remember that for this to be worth their while, they should make sure the new interest rate is lower than the current rate and that you can’t refinance a FHA or conventional loan through the IRRRL.

This program isn’t for everyone, but for those looking to lower their current interest rate, it is a great option. For more information on the VA home loan program and the VA’s IRRRL, contact a VA-approved lender like Veterans United Home Loans, the nation’s leading dedicated provider of VA home loans. Kevin Pearia is a mortgage commentator for Veterans United Home Loans, the nation’s leading dedicated provider of VA home loans.

**

What is the VA Home Loan Program?

Jan 4th, 2012
by Kathy Rain.
No comments yet

The VA Loan Guaranty program was created over 65 years ago to honor the service members returning from World War II. Since then, the program has serviced over 20 million active-duty and veterans, providing them with flexible, low-cost lending.

Service members have long had a history of constant moves and deployments, which tends to have a negative effect on one’s finances. That transient lifestyle can take a toll on a service member’s ability to plan for and build toward the future, including providing the high down payment required by most conventional loan programs. This is the main reason why the VA loan program has proved to be so crucial for the last 66 years.

VA loans come with a guarantee from the U.S. government. In short, the VA agrees to repay up to a fourth of a borrower’s mortgage if he or she defaults on their loan. That guarantee gives a greater degree of confidence to lenders, which, in turn can offer qualified borrowers competitive interest rates and flexible loan terms.

In fact, the VA Home Loan program is one of the few remaining zero money down mortgage options available. Veterans and active duty across the nation see not having to place a down payment as one of the greatest benefits, and without it, they would not have been able to acquire proper housing.

Interest in VA loans is surging across the country. Amid a tight credit environment and a rollercoaster of a housing market, service members are turning to the safety of these government-backed loans in record numbers.
 
In the past year, a surge in VA home loan refinance has been responsible for the VA Loan program guaranteeing nearly 360,000 single-family loans for the fiscal year ending September 30.

Kevin Pearia is a mortgage commentator for Veterans United Home Loans, the nation’s leading dedicated provider of VA home loans.

**

Now is the Time to Buy in the San Mateo Coastal Area!

Nov 1st, 2011
by Kathy Rain.
No comments yet

If you’re considering buying a home in the San Mateo Coastal area; now is the time!  The San Mateo Real Estate market is seeing steady sales activity along with new inventory on the rise.  Coastal area buyers can benefit greatly from the choices of beautiful homes that are on the market!  Homes prices are still at an all time low across the nation as well as the San Mateo Coast along with historic lows on interest and mortgage rates.  If you’ve been debating on whether or not to buy; these are just a few of the many reasons why now is a great time to start your home search on the San Mateo Coast!

Whenever you’re buying a home, there are some things to keep in mind.  Below is a to do list will help you in finding your ideal home amongst those that are available along the San Mateo Coastal cities of Moss Beach, Half Moon Bay, El Granada, Montara and Pacifica. 

1.  Do research the neighborhood- Look at the house, but also look at the neighborhood. Location is the most important thing, so it’s critical to look at more than the home itself. Be sure to make a list of the things you’re looking for in a San Mateo Coastal neighborhood in order to find an environment that fits your style.

2. Do look at several houses before you buy- If you buy a home without comparing it to other listings in the San Mateo area, you’re likely to overpay or miss out on a great nearby home. Walk through at least three homes before you choose. If you still love the first one you saw, make an offer!

3. Do invest in a professional inspection- Sellers don’t always disclose everything that’s wrong with their home to potential buyers, or they might have done a band-aid job to cover up issues after the sale. Many potential problems, like plumbing and wiring trouble, are not visible at a glance.  Home inspectors know what to look for and can do a thorough job so you’re sure to know exactly the type of home you’re buying- which can save you from unwanted surprises down the road.

4. Do buy based on needs, not wants- The average Americas lives in the same home for about 9 years, so it’s crucial that you think about your long-term needs when buying a home. A smaller home with a gourmet kitchen may grab your attention today, but will you still be enamored down the road when your family starts to grow? Make a list of your needs and stick to it to avoid buyer’s remorse in the long run.

We know buying a home can seem like an overwhelming experience, but keeping these tips in mind can help you narrow down your search and stay focused.  Many sellers are hoping to sell their homes before the holiday season hits, making now an even more lucrative time to buy!  San Mateo Coastal sellers may be more willing to work with you on the price and closing date if they know you’re serious about buying their home.  If you have any questions about the current San Mateo Coastal Real Estate market or are ready to start looking at homes on the San Mateo Coast, please let us know!  We’d be happy to help you find your new home!

**

← Earlier Posts