VA Mortgages are one of the best loan programs available today for eligible Veterans in South Carolina. Here are some of the great features of this fantastic program:
- NO Down Payment, 100% financing
- No monthly mortgage insurance
- 100% financing loan limits up to $2,000,000 in South Carolina
- Easier credit qualifying compared to other types of mortgage loans
- VA Mortgage Rates are low compared to other types of home loans
Eligible borrowers for the VA loan program may include:
- Service persons on active duty
- Veterans
- Members of the National Guard
- Reservists
- Surviving spouses of deceased veterans
- Cadets at the U.S. Military, Air Force or Coast Guard Academy
- Midshipmen at the U.S. Naval Academy
- Officers of the National Oceanic & Atmospheric Administration
Closing Costs with a VA Loans?
VA limits certain closing costs and lender fees, however, borrowers should expect to pay some standard closing costs. Please note, whenever these fees relate to services performed by a third party, the borrower will only pay the actual amount charged by the third party.
Below are some of the standard fees:
(1) Appraisal and home inspection
(2) Recording fees
(3) Credit report
(4) Prepaid items (taxes, assessments, and similar items)
(5) Hazard insurance
(6) Flood determination
(7) Survey
(8) Title examination
(9) Title insurance
(10) Special mailing fees for refinancing loans
(11) Mortgage Electronic Registration System (MERS) fee
Borrowers also pay a VA funding fee. This fee is a percentage of the loan amount. The amount of the funding fee depends on the borrower’s type of service, the purpose, and type of loan, the size of the borrower’s down payment, etc. The funding fee cost can vary depending on many factors, but is generally 2.15% of the loan amount.
The funding fee can be included in the loan amount and does not have to paid at closing. We want to also point out that if you are a disabled veteran, the funding fee normally is waived or discounted for veterans who receive VA disability compensation and unmarried surviving spouses of veterans who died in service or as a result of a service-connected disability.
So how do you apply for a VA loan for a South Carolina VA loan? You must first verify your eligibility. If you are one of the above, you will need your Certificate of Eligibility (COE) The only borrowers that do not require a COE are those applying for VA IRRRL (Streamline). A COE provides the evidence that the borrower meets the minimum terms of eligibility to apply for a VA loan. If you have misplaced your COE, we can assist you. The next step is to get pre-approved by speaking with one of our VA loan specialists.
The VA loan pre-approval involves a credit check and supporting documentation such as pay stubs and bank statements. Even with no down payment required for VA loans, it’s important to know that there are VA closing costs involved in every transaction, which means there may be money due at closing. Don’t forget the home seller can also pay the buyer’s closing costs as part of the negotiations.
Questions? Please call us above or just submit the Quick Request form above for assistance.