VA New Home Loans

Purchasing a home using a VA loan?

National Bank Of Kansas City is your VA mortgage specialist. Our loan officers are well versed in VA mortgages and they can help you receive your Certificate of Eligibility. We know VA mortgages so well that 62% of the loans we close on an annual basis are VA*.

Because a VA mortgage is available only to veterans and current military personnel for the use of purchasing or refinancing a home, it is often more beneficial than a conventional mortgage because:

• You can purchase a home with $0 down.
• You can finance 100% of the home's value up to $417,000.
• Credit and income standards are not as strict.
• There is no Private Mortgage Insurance. (PMI)
• Interest rates for VA loans can be .5% - 1% lower than conventional loan rates.

In addition, working with National Bank Of Kansas City for your VA mortgage has the following benefits:

• No lender fees**
• No origination fees**
• No underwriting fees**
• No processing fees**
• No points
• We finance in all 50 states

How much can I borrow?

You can finance 100% of the home’s value up to $417,000. Remember, your mortgage company must approve the total amount borrowed.

For a first time homebuyer, is getting a VA loan easier than a conventional mortgage?

If you don't have established credit, getting approved for a loan can sometimes be difficult. Credit and income standards are not as strict with VA loans, making the approval process easier.

If I don’t put 20% down, will I have to pay Private Mortgage Insurance (PMI)?

No. Because the loan is backed by the government, you are not charged PMI.

Are rates for VA loans comparable to conventional loan rates?

Interest rates for VA loans can be .5% - 1% lower than conventional loan rates.

How come not every mortgage broker or bank offers VA loans?

That is because the Department of Veteran Affairs requires companies who offer VA loans to go through a thorough approval process. National Bank Of Kansas City is proud to be a VA approved lender. In fact, VA purchase and refinance mortgages make up more than 62%* of the loans we close on an annual basis.

How do I qualify for a VA mortgage loan?

The first step is to obtain a Certificate of Eligibility. See the FAQ section for more information on how to obtain this document.

Can I get a VA loan for a home outside of the United States?

No. Unfortunately, the current law only allows the VA to guarantee loans on property located in the United States.

Do I have to pay a fee for a VA home loan?

Yes. 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.

Can I reduce my funding fee?

A first or second time user who makes a down payment of at least 5% will pay a reduced funding fee of 1.5%.

If I'm a disabled veteran, do I still pay a VA funding fee?

It depends. If you are 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.

*Based on May 2008 – May 2009 closed loan numbers.
** Third party fees apply.