October 31, 2016 – Top three (3) pros and cons of VA (Department of Veterans Affairs) Loan Programs, according to Anthony Powell, Vice President of Operations, AAFMAA Mortgage Services (AMS). Whether a soldier, marine, sailor, airman, coast guardsman, national guardsman, or reservist, servicemembers must make a series of decisions on mortgage financing. Options for purchase or refinance transactions are plenty, and require professional advice from a trusted state-licensed mortgage loan officer.
The top three pros for getting a VA mortgage include: (i) a rate that is typically 0.375 percentage points less than conventional financing; (ii) 100% financing and streamlined refinances; and (iii) closing costs that may be paid by the seller. While not all loan officers are state-licensed, it is important to ask the mortgage expert to run the numbers. Often times, the VA mortgage may not be the best option.
The top three cons include: (i) many sellers are being advised not to sell to military financing through the VA due to an inability to retain the due diligence and earnest monies of the military home buyer (contact AMS for more details); (ii) the funding fee for a VA loan may exceed 3% (an enormous burden that may be eliminated — contact AMS for Certificate of Eligibility); (iii) and lastly, closing a VA mortgage may take up to 30 days longer than conventional financing.
Overall, it’s important for the military family to engage a state-licensed loan officer to advise not only on the mortgage, but also the due diligence, earnest money, purchase and sales contract, and other important financial decisions. There are literally dozens of important issues with a VA mortgage; from differing appraisals to underwriting standards, and AMS can help military families through the maze of options.
Anthony Powell, an experienced state-licensed loan officer (#78385) and Vice President of Operations of AMS, can help military families achieve home ownership. AMS competes on rates and service and takes pride in continuing the tradition of zero BBB complaints ever to date. Military families can get the most value out of a home sale or purchase by working with unique tools like the AMS mortgage calculator coupled with experienced state-licensed mortgage professionals.
AAFMAA Mortgage Services. 844-422-3622 (844-4-AAFMAA). http://www.aafmaa.com/mortgage. Physical location 639 Executive Place, Suite 203, Fayetteville North Carolina 28305. Equal Housing Opportunity. NMLS license number 1423968.