5 Reasons the VA Loan is AWESOME! | San Diego Real Estate

5 Reasons the VA Loan is AWESOME! | San Diego Real Estate

In this video, I’m going to discuss 5 reasons
why the VA Loan is, in my opinion, one of the most valuable, if not THE most valuable,
benefits of having served in the military. Number one—a VA Loan allows you to purchase
real estate for as little as NOTHING DOWN—that means as little as ZERO downpayment out of
your pocket! If you were to use nearly any other loan program, even the low down-payment
options, you’d still need to save up a chunk of cash to set aside for the down payment. The exception to this is if you were to buy
property for more than your county’s VA Loan limit—in this case $580,750 for San
Diego County—you would need to place 25% of the amount OVER that limit as a down payment.
For example, if you were to buy a property for $600,000, you would need to place 25 percent
of $19,250 (the amount above the limit) down, which is around $5,000. Number two—interest rates for VA Loans are
typically the most competitive rates available out of any loan program. With even a decent
credit standing, a borrower can often get a lower rate than with an FHA or a Conventional
loan! Number three— there is no such thing as
“Mortgage Insurance” with the VA Loan! With other low-downpayment programs for the
general public, Mortgage Insurance is a required additional monthly premium owed by the borrower,
which typically eats up hundreds of dollars a month! You don’t have to worry about that
with the VA Loan. Number four—You can use this loan for a
detached single family home, a condo or townhome, or even a 2 to 4 unit income property, so
long as you LIVE in one of the units for at least ONE YEAR. This means you can take your
VA loan and go purchase a 4 unit with no money down, RENT OUT the other THREE units, and
let your tenants pay your mortgage! Number five—you can use this benefit for
the rest of your life! So long as you make your payments on time, you can sell your home
and re-use the VA Loan again and again to purchase your next property with no money
down! Look, the VA loan is truly a great program
and one that I believe very highly in. In fact, I’ve used it multiple times to help
me get to where I am today. To get more information on the VA Loan program or other loan programs,
OR for more information on buying or selling real estate, call us at (619) 537-6016 or
go to our website today.

2 thoughts on “5 Reasons the VA Loan is AWESOME! | San Diego Real Estate

  1. VA loans are very pricey when you factor in all the fees and other costs. It's better for the buyer to save up a 20% down payment, pay off any other debt, and go conventional.

  2. Thanks for the video with the va loan with no money down wouldn't your monthly mortgage be higher? Or is that contingent on the interest rate?

Leave a Reply

Your email address will not be published. Required fields are marked *