VA Loans – Let us take the stress out of your next PCS!
Welcome to West Coast Veterans! You are either here now anywhere in the state of Washington as a Veteran or Active Duty person or you may have just received your orders to PCS to JBLM, Naval Base Kitsap, Fairchild Air Force Base or Naval Air Station Whidbey Island . You may be wondering what are my next steps to becoming a homeowner using my VA certificate here in the State of Washington? This is where we shine with Veterans and Active Duty where WE help you take the stress out of your next PCS!
- Report Date, give us a call and tell us your report date (360) 250-3400. This way we can do some planning before your arrival for your pre-approval and if you are already here we can work to obtain your pre-approval remove the word YOU immediately so you can start shopping very quickly! (Planning early is always essential!)
- Do a full application so that we can go over your LES and financials and pull your VA Certificate and confirm your entitlement (We will take a look at your LES, W2’s, Bank Statements, Identification as well as other financials so that we can view a 24 month history. (Please remove the rest of this) get you ready to buy quickly—24 month history).
- Doing an application will help determine if we can obtain a Pre-approval so you can shop with your agent and translate your monthly budget into a purchase price.(Know your price range-and this is where we come in to help you understand the logistics!) and JUST FYI most agents will want to see you fully pre-approved so that you can start shopping and make offers!
- If you know your Real Estate agent’s name and number share this information with us so we can send them a pre-approval letter, and if you do not have one we can recommend professionals that we know at each duty station
Since 2001 we have helped our Veterans and Active Duty who have lived and PCS’d to Washington State successfully navigate their VA home loans to buy and refinance their homes. We have many people who have PCS’D from Germany, Greece, Italy, Hawaii as well as many other countries and the contiguous states. We are an experienced group of professionals, with ties and connections to the military and we work very hard and have fun helping you every step of the way. Thank you for your service and we look forward to serving you in the VA Home Loan department!
Benefits of VA Loans
- You can buy a home with no money down.
- You can refinance your home up to 100% of the value of your home.
- You never have to pay PMI (Private Mortgage Insurance).
- Sellers can pay your closing costs.
- They are usually easier to get because the Government insures.
- If you already have a VA Loan you might be eligible for a VA Streamline Refinance to help lower your payment or use your VA Entitlement with more than one home provide you have suffice entitlement (This is called Tier 2 or bonus entitment).
- Disabled Veterans may qualify for a waiver of the Funding Fee if you receive disability payments from the VA or if you are considered to be at least 10% disabled.
Who is eligible for a VA Loan?
As a rule of thumb, almost all active duty or honorably discharged service members are eligible for a VA loan. (But we always check for sure and upload the necessary documentation from you to get your Certificate in the even it is not issued immediately)
You may be eligible for a VA loan if any one of these statements describes you:
- After October 1st, 1980 you need 24 months of active duty (there are exceptions that can apply)
- Having a service-connected disability requires 90 days wartime 180 days peacetime
- You served 6 years in the Reserves or National Guard. (We will get your points letter to show enough to obtain your certificate)
- You are the spouse of a service member who was killed in the line of duty or passed away from complications of injuries that he/she was receiving service for a service-connected disability.
- I currently receive disability payments from the VA. (Dependency and Indemnity Compensation)
What is the VA Funding Fee and is it required?
Yes, it is required. It is a fee paid directly to the Department of Veteran’s Affairs so that they can guarantee your loan. (Of course, if you are exempted this fee does not apply)
How much is the VA Funding Fee?
It depends on several factors including Whether you are on Active Duty, Retired, Guard, or Reserve and whether this is a first-time use, subsequent use, a cash-out refinance, or even a VA Streamline/VA IRRRL as well as how much of a down payment you are putting down. The fee can range from as little as .5% on a VA Streamline, or on purchases 2.3% up to 3.6% of the loan (These can change from year to year and we will update you with current funding fees when we speak).. Generally, the more money you put down the lower the VA funding fee on purchase loans. Please contact us and we will help you to determine what the exact cost of the VA Funding Fee would be for your particular situation.
Do I have to pay the VA Funding Fee out of pocket?
No, you can include the VA Funding Fee financed in your loan and pay the funding fee over the course of your loan.
Do I still have to pay other normal closing costs like Appraisal, Title, and Escrows?
Yes, however with a VA loan if you are purchasing a home the seller can pay for all or part of your closing costs. But if it’s a seller’s market, you may not be able to get closing costs especially when there are a lot of competing offers. These market conditions change and we will always keep you apprised of what is happening in the purchase market when you are getting ready to buy a home. On a refinance, these fees can be put into the loan and leave you with no out-of-pocket fees. We can visit this when we get further into your refinance conversation with us.
What is a VA Streamline Refinance?
A VA Streamline Refinance is a refinance option that is available if you already have a VA mortgage and you want to lower your interest rate with little or no out-of-pocket closing costs. You don’t have to provide bank statements, W2s, job verification, or paychecks and you do not need an appraisal.