Purchase Loans help you purchase a home at a competitive interest rate often without requiring a downpayment or private mortgage insurance. These loans are available for your occupancy or your spouse and/or dependent for active duty service members. Cash Out Refinance loans allow you to take cash out of your home equity to take care of concerns like paying off debt, funding school, or making home improvements. Eligibility requires: satisfactory credit, sufficient income, and a Certificate of Eligibility (COE). (VA)
Interest Rate Reduction Refinance Loan (IRRRL): also called the Streamline Refinance Loan can help you obtain a lower interest rate by refinancing your existing VA loan. You must have an existing VA guaranteed loan. (VA)
Native American Direct Loan (NADL) Program: helps eligible Native American Veterans finance the purchase, construction, or improvement of homes on Federal Trust Land, or reduce the interest rate on a VA loan. To be eligible your tribal organization must participate in the VA direct loan program and you must have a valid Certificate of Eligibility (COE). (VA)
Adapted Housing Grants: help Veterans with a permanent and total service-connected disability purchase or build an adapted home or to modify an existing home to account for their disability. Specially Adapted Housing (SAH) or Special Housing Adaptation (SHA) grants. VA's Adapted Housing Grants Infographic (VA)
Other Resources: many states offer resources to Veterans, including property tax reductions to certain Veterans. To find out the benefits for South Carolina visit the South Carolina Division of Veterans' Affairs (VA)
Military / VA New Construction Financing:
With new construction there are two types of loans involved, the construction loan and the residential mortgage loan. Many lenders offer what is called construction to permanent financing which requires only one closing. For lenders who provide construction loans the terms sometimes require a down payment or other terms as a construction loan is riskier for the lender. One type of construction to permanent loans requires that the construction is financed by the borrower, usually through a builder, and then refinanced into a VA loan. (VA)
Military / VA New Construction Financing (Accessible Housing)
Benefits of a VA Loan
The biggest benefits of a VA loan is no down payment is required (except in certain cases where the lender requires it or the purchase price exceeds the value of the property) and a VA loan does not require private mortgage insurance.
Other benefits include interest rates that are competitive and negotiable, the VA limits the amount you can be charged for closing costs, closing costs may be paid by the seller, ability to finance the VA funding fee, the right to prepay your mortgage without penalty and assistance to veteran borrowers in default due to temporary financial difficulty.
A VA loan doesn't require that you be a first-time home buyer, the benefit can be reused and VA backed loans are assumable, as long as the person assuming the loan qualifies. (VA)