Five Things You Need to Know About VA Loans

Sunflower Bank is thankful for the men and women who devote themselves to our country. As an Active-Duty Service-member, Veteran, or surviving spouse, you may be eligible to qualify for a VA loan and we're here to help you through the entire process. 

VA Loans Offer Unique Features Exclusive to Veterans

The United States Department of Veterans Affairs (VA) backs a portion of a VA loan amount, which reduces risk to the lender and allows veterans and their families to acquire homes easier. This reduced risk allows for the two amazing benefits that separate VA loans from other mortgage options: 

1) They allow for 0% down payment. 

2) No Private Mortgage Insurance (PMI) is requirement.

The VA loan program can be used to purchase a single-family home, multi-unit home, condominium, or new construction, provided it is the borrower’s primary residence. There are also refinancing options with VA loans.

Not Just Veterans are Eligible for VA Loans

Veterans and most active Service-members of the United States military branches, National Guard, and Reserves are eligible for a VA loan. Selected surviving spouses can also apply. Eligibility is based on the length of time served and the time period in which you or your family member served. Full eligibility requirements can be found on the VA’s website.

You will need a Certificate of Eligibility (COE) from the Department of Veterans Affairs, which can be obtained online through your VA account. Many VA loan benefits go unused because of confusion surrounding eligibility, so be sure to check yours and take advantage.

VA Loans Offer Reusable Benefits

If you use it -- you do not lose it. Even if you have had a VA loan in the past, you can apply for another one when looking to purchase a new home. When your home sells and/or the VA loan is fully paid, you once again have access to the VA loan benefits. In fact, many service members rightly use their VA benefits every time they move. It’s a perk that has been earned for a lifetime.

Great Rates, Even With the Other Benefits

Lower down payment options and no required mortgage insurance might warrant a higher interest rate. However, the truth for VA loans is quite surprising: rates for these loans are often lower than traditional loan rates. If you already have a VA loan, ask a Sunflower Bank Mortgage Loan Originator if you might benefit from Interest Rate Reduction Refinance Loan (IRRRL) to refinance your current loan with a better rate or terms.

Choosing The Right Lender Matters

A VA loan is backed by the government but is not from the government. The loan itself is a product offered by a bank or mortgage company, so it is important to seek out a reputable partner. Do your research, compare products, and select a trusted lender like Sunflower Bank Mortgage who has experience in VA loans and a commitment to putting customers first.

For more information about VA loans, contact one of our loan originators to discuss your mortgage possibilities, ask any other questions you may have about eligibility, or apply for a VA loan.