VA Home Loan Florida
VA Home Loan Florida. Florida is an appealing destination for veteran homeowners because of the array of great deals that can be found on properties, including short sale and foreclosed homes. Florida is a beautiful state with a lot to offer. The economy of Florida, which has shifted many times since its inception; driven by the nineteen metropolitan areas falling within Florida’s boundary, tourism, biomedical, life sciences, health-care research and retirement are the state’s most prominent industries.
Bordered by the Gulf of Mexico and the Atlantic Ocean, Florida is the 4th most populous state in the country. With 237 sunny days a year, tropical weather, and pristine beaches, residents often say, “Florida has it all.” For many people, living in Florida is like being on vacation every day. In addition to the stunning natural beauty of Florida, there are also several major metropolitan areas, including Jacksonville, Miami, Orlando and Tampa. Another advantage about Florida are the popular tourist destinations, which include the Walt Disney World Resort, Universal Orlando Resort, Busch Gardens, and SeaWorld. Approximately 60 million tourists travel to Florida annually.
The cost of living in the Sunshine State is 1.3 percent lower than that of the national Average. The unemployment rate of 5.7 percent is also below the American average, and the state has experienced job growth of over three percent.
The veteran population of Florida is roughly 1.5 million, ranking it with California and Texas as the states with the highest concentration of veterans. The increasing population of veterans in Florida is due to the military bases which are being built in Florida. Right now there are over 20 military installations in Florida.They include:
- Atlantic Undersea Test and Evaluation Center (AUTEC).
- Blount Island Command.
- Camp Blanding.
- Corry Station Naval Technical Training Center.
- Eglin Air Force Base
- Naval Support Activity Panama City
- Naval Warfare Center
- MacDill Air Force Base
- Naval Air Station Jacksonville
- Naval Air Station Key West
- Integrated Support Command (ISC) Miami
- Naval Air Station Pensacola
- Naval Air Station Whiting Field
- Hurlburt Field
- Naval Station Mayport
- Naval Hospital Jacksonville
- Patrick Air Force Base
- Tyndall Air Force Base
- USCG Air Station Clearwater
- USCG Auxiliary 7th District
Which made Florida the perfect places for veterans who want to purchase a home with the best mortgage rate through a VA home loan Florida.
Florida’s real estate market has had its ups and downs, and tracking Florida mortgage rates is just as critical as getting the right price for home. Real estate prices in Florida have always varied dramatically throughout the state. Many affordable areas, outside the major cities, fall below the national median home value of $173,200, such as Cape Coral-Fort Myers ($87,600), Gainesville ($167,600), and Jacksonville ($145,900). In the cities such as Miami, high rise condos worth several hundred thousand dollars dominate much of the skyline, and million dollar luxury homes line private beaches.
What a VA Home Loan Florida Offers you?
VA home loans are home mortgages for veterans guaranteed by the Department of Veterans Affairs (VA), and designed to offset common financial challenges faced by military families and veterans, and to simplify the approval process with a VA home loan. Eligible servicemembers and veterans can buy a home with little or no down payment. The VA home loans typically have lower interest rates than conventional mortgages loan, allow for higher debt-to-income ratios and lower credit scores, and they don’t require private mortgage insurance, because the VA home loan Florida guarantees a portion of your loan, this mean a significant monthly savings.
The VA home loan Florida also offers limitations on buyer’s closing costs, and an appraisal that informs the buyer of the property value. For most loans on new houses, construction is inspected at appropriate stages, and a one year warranty is required from the builder. VA home loans also performs personal loans servicing and offers financial counseling to help veterans having temporary financial difficulties.
So if you’re planning to buy a home in Florida using a VA home loan Florida, a termite inspection is required. Heating systems are not required in a number of the south Florida counties, including Broward, Charlotte, Collier, Dade, Glades, Hendry, Lee, Martin, Monroe and Palm Beach. Additional guidelines include the fact that Staff Appraisal Reviewers can change the appraiser’s estimate of value (but rarely will), and refinancing of new construction condominiums may not be eligible.
Buying a new construction condo is permitted, but the condo has to be approved by the VA and the borrower can’t receive a gift, grant, down payment assistance or a loan from a family member to cover closing costs. Attached new construction PUDs are also required to meet a 50 percent presale requirement.
To get a VA home loan Florida, you need to be part of the Veteran’s active military personnel or military families, and make sure that you are eligible for a VA home loan Florida. Second, you need to Shopping around to Find the best lender who participates in the VA home loan Florida program, and offer you great home loan terms and lower closing cost. Third, get your Certificate of Eligibility from the VA to prove that you are eligible for a VA home loan. And finally, apply for your VA home loan; your VA lender will work with you to complete your financial process.
In order to qualify for a VA home loan, you must be an active-duty or retired member of the armed forces with at least have served 181 days during peacetime, 90 days during war time, or 6 years in the Reserves or National Guard, or have a discharge other than dishonorable. The spouse of a service member who was killed in the line of duty or as the result of a service-related disability, may also qualify for a VA home loan.
Note: You are not eligible for a VA home loan financing only based upon Active Duty for Training in the Reserves or National Guard. You must had been activated under the authority of title 10 U.S code as was the case for the Iraq/Afghanistan. If you have served for less than two years, then you are not going to qualify. During periods of war, active personnel must have served for at least 90 days to qualify for a VA home loan.
How to Get a Certificate of Eligibility (COE)?
VA applicants must present a certificate of eligibility, which establishes their record of military service, to the lender. VA home loans, FHA loans and other loans insured by departments of the United States government are securitized by the Government National Mortgage Association.
To get your COE you have to check the web page of the Department of Veterans Affairs (VA), and find according to your military status the evidence that you need to gather for apply for you COE. You can apply for the COE in several ways, the first one is applying online, for that you have to register in the web page of the Department of Veterans Affairs (VA), and logging your credentials.
The portal will indicated the steps to follow. The second way is applying through a VA home lender who has access to the Web LGY system. This Internet-based application can establish eligibility and issue an online COE in a matter of seconds. Not all cases are through Web LGY, only those for which VA has sufficient data in their records. However, Veterans are encouraged to ask their lenders about this method of obtaining a certificate. And the third one is applying by mail, all the formats are in the web page of the Department of Veterans Affairs (VA).
Limits of VA Home Loan?
VA home loans offer up to 100% financing the value of a home and will guarantee a maximum of 25% of a VA home loan amount up to $104,250, which limits the maximum VA home loan amount to $417,000. Usually, the reasonable value of the property or the purchase price, whichever is less, plus the funding fee may be borrowed. All veterans must qualify for. They’re not automatically eligible for the VA home loan program.
What are The VA Home Loan Advantages?
- NO money down – up to 100% financing nationally.
Low VA home loan interest rates set by approved lenders, banks and mortgage brokers. VA home loan rates are often times lower than conventional, FHA or USDA loan programs. In fact VA home loan interest rates are some of the lowest rates available today.
- Secure 15, 30 year fixed rate or adjustable rate terms with no prepayment penalty.
- NO monthly mortgage insurance (PMI) like other home loans. This alone can save home buyers hundreds $ each month on their loan payments.
- You can pay closing costs by the property seller. This limits buyers out of pocket money needed to close.
- Minimal assets required to qualify.
- Qualifying with a low credit score is possible. Current min is 620.
- Eligible Vets can use their VA home loan benefits multiple times.
- VA home loans are for ANY new or existing home. Please note we currently do not permit mobile homes.
- VA home loans offer you other housing-related programs to help you buy, build, repair, retain, or adapt your own home for your personal occupancy.
- For Native American veterans the program Native American Direct Loan (NADL) program reduce the interest rate on a VA home loan.
- After you obtain a VA home loan, you can apply for different refinance plans or the Adapted Housing Grants program (for Veterans with a permanent and total service-connected disability purchase), which allow you to lower your current interest rate, or to remodel and modify your house.
What is VA Home Loan Cost?
The VA defines allowable fees and charges that the veteran applicant can pay; or closing costs that the applicant is charge with. These costs we determine as reasonable and customary by each local VA office in Florida. All other costs in the transaction are non-allowable; and generally the seller pays them when you are purchasing a new home; or by the lender when you are refinancing your current VA home loan.
Between the cost that you have to consider; there are the VA Funding fee that you pay to the VA to help fund the program; and varies depending on type of service, loan amount, down payment and subsequent VA home loan usage . (This fee you can pay in cash at closing, but most applicants choose to add this cost into their monthly payments); property taxes which generally are 1.2% of the home’s value, but may vary depending on your location, and annual homeowners insurance is roughly 0.35% of the home’s value but can change depending on insurer.
VA home loan offers you lower closing cost than other loans, because VA limits closing cost for veterans and allows seller to pay most or all of those expenses. Many of our borrowers purchase a home with no money due at closing.
VA Home Loan Refinancing
For veterans this kind of mortgage refinance is known as the interest rate reduction refinancing loan (IRRRL). The IRRRL have become a great help for VA liens struggling to refinance with conventional loans, for their low mortgage rates and flexible underwriting standards. In most cases, a lender with expertise in VA home loans should be able to complete the loan in a few months. VA Home Loan Florida
If you want to refinance, first you need to have a VA home loan Florida; which are loans that belong to a special loan program that experts design specifically for veterans. Additionally, VA lender can issue them and the federal government guarantee them. The VA home loan main attractive is that veterans with qualifying credit and income can purchase a home with no money down, which makes buying a home extremely attractive for those who have served in the military.
VA home loans also offer feature flexible requirements, no private mortgage insurance (PMI), and extremely competitive mortgage rates. In order to qualify for a VA home Loan, a veteran must have served 181 days during peacetime, 90 days during war time, or 6 years in the Reserves or National Guard. You may also qualify as the spouse of a service member who killed in the line of duty.
Another way to refinance is the Cash-Out refinance, which is an option for VA liens who have two mortgages and want to refinance them into one loan, with a lower rate. Unlike the IRRRL program, this Cash-Out refinance allows the borrower to pay off the first and second loans with the new loan, while also taking cash from the home’s value. Most lenders allow the VA liens to refinance up to 100 percent of the home’s value to pay off the old mortgages.
Choosing a VA Home Lending
You need to keep in mind that mortgage rates fluctuate daily, but rates overall are around historic lows. It’s a good time to be in the market if you’re thinking about purchasing or refinancing a home. The most favorable rates typically go to those with excellent credit. That makes it crucial to sure to shop around for the best mortgage rates. According to Bankrate’s Rate Trend Index, 17% of panelists think mortgage rates will increase over the next week or so, while 50% think rates will fall and 33% think rates will remain the same. VA Home Loan Florida
You can use a mortgage calculator to estimate your monthly payments and see how the mortgages rates will affect your monthly payments and also see the outcome of adding extra payments. It will also help you calculate how much interest you’ll pay over the life of the loan.
Right now it’s a competitive market for buyers. Inventory levels are at a relatively low 4.5-month supply, according to data from the National Association of Realtors. Don’t be surprised if you get into a bidding war for a home. But you can get an edge by getting your lender to pre approve you for a VA home loan Florida. It tells sellers that the deal won’t fall through, and it saves time when closing.
Choose a VA home lending institution in Florida with the best mortgage rates; managing your VA home loan is a hard work, but quit feasible for us. A lender can help you reviewing your credit history and determine how much of a VA home loan you can qualify for. This way you can obtain a VA home loan pre-qualification which will be useful for housing. Be aware that different lenders have different closing costs and other fees, so it pays to shopping around. Also seek for a lender who cares and connect with your own real needs and your family’s.
As we know VA home loan is flexible with the requirements and have their own unique suite of approval guidelines, even though private lenders who finance the home purchases have an additional set of criteria that a potential VA applicant must qualify, including debt, income and credit requirements, as well as examine your debt-to-income ratio. We describe some financial definitions that would help you to understand more what lenders ask for:
VA home loans have their own rules and guarantee which lenders like. VA home loans also require the lender to verify the applicant has a responsible, stable credit history with reliable income that will cover monthly expenses, including their new loan payments, but does not require a minimum credit score. Lenders however, do use credit scores when approving VA home loan applications. Most lenders require a minimum score of 620 to 640. VA Home Loan Florida
Additionally, the VA requires that the VA applicants maintain a certain amount of income left over each month; after the applicant pays all their main expenses. The excess is for covering typical family needs; such as food, transportation and so forth. This you can call a residual income. By enforcing residual income requirements, the VA increases the chances of its applicants earning sufficient income to meet all financial obligations, and also ensures that VA applicants have a cushion in the event of an emergency. VA Home Loan Florida
To calculate your debt-to-income ratio is all your monthly debt payments; then you divide it by your gross monthly income. This number is one way lenders measure your ability to manage the payments you make every month to repay the money you have borrowed. To calculate your debt-to-income ratio, you add up all your monthly debt payments and divide them by your gross monthly income.
Your gross monthly income is generally the amount of money you earn before your taxes; and after you take out other deductions. For example, if you pay $1000 a month for your mortgage and another $150 a month for an auto loan and $350 a month for the rest of your debts, your monthly debt payments are $1500. ($1000 + $150 + $350 = $1500) If your gross monthly income is $5000, then your debt-to-income ratio is 30 percent. ($1500 is 30% of $5000.)
Evidence from studies of mortgage loans suggest that borrowers with a higher debt-to-income ratio; are more likely to run into trouble making monthly payments. The 43 percent debt-to-income ratio is important because; in most cases, that is the highest ratio a borrower can have and still get a qualified mortgage.
How long is VA Home Loan Process?
The duration of a VA home loan Florida buying process take no longer to close FHA or conventional loans; and should not take more than 30-45 days from start to finish. For the last eight months of 2014; the average conventional purchase loan closed in 38.9 days for regular loans; compared to 39.6 days for VA home loans, there’s not much difference between them. So “Why did the lender say that VA home loans take 45-60 days? the reason is that specific lending company use this extra days to close the loan not VA. VA Home Loan Florida
The truth is the VA really limits its involvement (really none); so saying that VA home Loans take longer is really not fair to the VA or the Veteran for that matter. Additionally, if you are currently working with a lender that has quoted you 45-60 days, or is just lagging altogether; you may want to look for another mortgage loan company that can close on your loan sooner saving you time, energy, and of course, money. VA Home Loan Florida