What is a VA Mortgage Loan?

A VA mortgage loan is a home loan program available to veterans, service members, and certain military spouses. The program is known for its no down payment requirement and no private mortgage insurance (PMI), along with competitive interest rates.

Key Benefits of VA Loans:

• No Down Payment Required: VA loans allow eligible borrowers to finance 100% of the home's value.

• No Private Mortgage Insurance (PMI): Unlike conventional loans, VA loans don't require PMI, reducing monthly payments.

• Competitive Interest Rates: VA loans often have lower rates compared to conventional mortgages.

• Limited Closing Costs: The VA limits the closing costs lenders can charge.

Eligibility Requirements:

Eligibility for VA loans depends on your service history. This includes:

• Active-duty service members.

• Veterans with specific service durations.

• Certain National Guard and Reserve members.

• Some surviving spouses.

VA Loan Limits and Funding Fees:

While there are no set loan limits for VA loans, the amount you can borrow without a down payment depends on your entitlement and the county loan limits. Additionally, most VA loans require a funding fee, a percentage of the loan amount, which helps fund the program.

Using a VA Loan in Lehigh Valley and Bucks County:

When considering a VA loan in these regions, it's important to:

• Find a VA-experienced real estate agent and mortgage professional who understands the local market.

• Get a Certificate of Eligibility (COE) to prove your entitlement.

• Consider all costs, including the funding fee and any applicable property taxes or homeowners insurance.

VA mortgage loans are a valuable benefit for our nation's service members, offering a more accessible route to homeownership in Pennsylvania. Understanding how these loans work and their unique advantages is essential. With over 50 years of real estate experience, our Mission Mortgage team understands the specifics of PA home loans to find competitive rates and terms suited to your needs.