Securing a home loan, veterans and active-duty personnel of the United States military have a powerful ally in their corner: the VA loan. Backed by the US Department of Veterans Affairs (VA), these loans offer flexible, affordable opportunities for those who have served our country. At Front Range Mortgage, we’re proud to say that around 75% of our customers are VA homebuyers. We’re here to guide you through the VA loan process, ensuring you can leverage these benefits to secure your dream home in the Denver Front Range area.
What is a VA Loan?
A VA loan is a mortgage product insured by the US Department of Veterans Affairs. This insurance provides a layer of security for the lender, allowing them to offer more favorable terms to borrowers. Even if your credit score isn’t perfect, a VA loan can make qualifying for a mortgage more accessible and make your loan payments affordable.
The Benefits of a VA Mortgage in Denver
Choosing a VA loan with Front Range Mortgage opens the door to a host of benefits:
- Zero Down Payment: VA loans allow you to purchase a home without any down payment.
- Competitive Interest Rates: Even if your credit score isn’t perfect, you can still secure a competitive interest rate.
- No Mortgage Insurance: Unlike many other loan types, VA loans don’t require mortgage insurance, reducing your monthly payments.
- No Pre-Payment Penalties: If you can pay off your loan early, you won’t be hit with pre-payment penalties.
- Flexible Credit Qualification: VA loans have more flexible credit qualification requirements than conventional loans.
- Capped Closing Costs: If the seller doesn’t pay the closing costs, they’re capped, providing you with financial protection.
- Waived Funding Fee: Qualified disabled veterans may have their funding fee waived.
Eligibility for a VA Loan in Denver
VA loans aren’t just for veterans. Active duty service members and eligible surviving spouses can benefit from this beneficial loan type. All military branches, including the Reserve and National Guard, are eligible. Plus, you can use your VA mortgage benefits unlimited times, even if you’ve had a VA mortgage in the past or have a history of bankruptcy or foreclosure.
The VA Loan Application Process
Securing a VA loan involves a few extra steps compared to the conventional loan process. Here’s a general overview:
- Obtain your Certificate of Eligibility: This certificate proves to lenders that you’re eligible for a VA loan.
- Gather Employment and Tax Information: You must provide information from the past two years.
- Document Your Banking and Savings Information: Lenders want proof of financial stability.
- Check Your Credit Score: Knowing and understanding your credit report can help you anticipate potential hurdles in the loan process.
- Choose a VA-Approved Lending Institution: Not all lenders offer VA loans. Make sure to choose a lender, like Front Range Mortgage, that’s approved to provide these loans.
The loan application process relies on accurate and complete documentation. Working with an experienced VA mortgage broker who participates in the VA home loan program ensures the process is done right and on time. At Front Range Mortgage, we’re committed to supporting our military homebuyers every step of the way. If you’re ready to explore the benefits of a VA loan, we’re here to help. Call us today at (303) 500-1900 to start your journey to homeownership.