No down payment
Because VA loans are backed by the U.S. Department of Veterans Affairs, veterans can buy a house with no down payment. This helps make homeownership more affordable.
Since the mortgages are VA insured, Best Capital Funding can offer interest rates that are competitive with the rates on other loans.
No Private Mortgage Insurance
You don’t have to pay for mortgage insurance when you buy or refinance a house with a VA loan. Most veterans will pay a one-time VA funding fee when they use a VA loan, however. The funding fee helps the VA cover losses on mortgages that might default. The fee is based on your service, your down payment, and if you’ve had a VA loan before.
Limits on closing costs
The VA requires commissions for real estate professionals, brokerage fees, and buyer broker fees be paid by the seller. You can also negotiate with the seller for who pays for closing costs like origination fees, discount points, and the VA funding fee.