Va Loan Rates

Aside from the veteran's certificate of eligibility and the VA-assigned appraisal, the application process is not much different than any other type of mortgage loan. These loans are often made without any down payment at all, and frequently offer lower va loan rates than ordinarily available with other kinds of loans. The main purpose of the va loan rates program is to help veterans finance the purchase of homes with favorable loan terms and at a rate of interest which is competitive with the rate charged on other type of mortgage loans. For VA housing loan purposes, the term "veteran" includes certain members of the Selected Reserve, active duty service personnel and certain categories of spouses.

And if the lender is approved for automatic processing, as more and more lenders are now, a buyer's loan can be processed and closed by the lender without waiting for VA's approval of the credit application. va loan rates guaranty on the loan protects the lender against loss if the payments are not made, and is intended to encourage lenders to offer veterans loans with more favorable terms. The local VA office can provide more details on guaranty and entitlement amounts. These loans are made by a lender, such as a mortgage company, savings and loan or bank.