New VA Home Loan Dollars and Cents

VA loans can be more financially beneficial than conventional loans, which is why so many veterans seek out VA loans. Whether you’ve found your dream home already or you are considering a house search, take the time to speak with VA home loan specialist and learn about the benefits of a VA home loan.

Here’s the bottom line on new VA loans:

• You can purchase a home with $0 down.
• You can finance 100% of the home's value up to $417,000.
• There is no Private Mortgage Insurance (PMI).
• Interest rates for VA loans can be .5% - 1% lower than conventional loan rates.
• At National Bank Of Kansas City we don’t charge lender fees*, origination fees*, underwriting fees*, processing fees*, and there are no points.

A word on funding fees. The VA funding fee is required by law. The fee was established as a way for the veteran who obtains the VA home loan to contribute toward the cost of the benefit. This also reduces the cost to taxpayers. If you are a second time user of your VA status, then the funding fee will be slightly higher. The higher fee for second-time users is based on the idea that these borrowers have already had a chance to use the benefit once. In addition, prior users have had time to accumulate equity or save money.

Funding fees may be reduced, if you are a first or second time user who makes a down payment of at least 5% (likely you will pay a reduced funding fee of 1.5%). If you are disabled veteran rated as being 10% disabled or higher, you will be exempt from paying the VA funding fee. Be sure to inform your lender if you qualify.

Qualifying for a New VA Home Loan

In order to qualify for a new VA home loan, you must be a veteran or active military and you must be purchasing property within the United States. Lending specialists will work with you to complete all the necessary financing steps, which will include obtaining a Certificate of Eligibility.

First-time homebuyers are encouraged to consider a VA home loan. This particular type of loan is often easier to obtain than a conventional mortgage. Credit and income standards are not as strict with VA loans, making the approval process easier.

*Third party fees could apply.