VA Home Loans in South Carolina
A First-Time Home Buyer Guide
VA Loans In South Carolina
From the beautiful scenery throughout the Grand Strand area to historically rich Mt Pleasant, there are dozens of reasons why staying in South Carolina will afford you an excellent experience. Unfortunately, for many people, purchasing a home can be confusing, and in addition to the expense, it can make the prospect of owning a home a far away dream. However, fear not, BrickWood Mortgage is here to help, did you know you can qualify based on your military service? The VA loan program can enable you to buy a home with little or no money down.
The Department of Veterans Affairs guarantees and regulates VA loans, these are intended to assist veterans, active serving service members, and qualifying spouses in obtaining affordable mortgages and housing. If you are eligible, you will receive a slew of perks, including the chance to borrow money with no down payment and avoid mortgage insurance.
The federal government does not grant VA loans. Instead, these are issued by private lenders, such as a mortgage company like BrickWood Mortgage, and are guaranteed by the U.S. Department of Veterans Affairs (VA) for up to 25% of the loan amount.
The Pros and Cons of VA Loans
If you meet the VA home loan requirements, these loans might be a fantastic way to buy a home. As mentioned earlier, the Department of Veterans Affairs guarantee on these loans minimizes a lenders’ risk. Borrowers benefit from lower risk in a variety of ways, including:
- No deposits are required.
- Reduced credit score criteria.
- More options for buyers who may not qualify for conventional loans.
- No private mortgage insurance.
- Disabled Veterans do not pay a Funding Fee.
The downside of VA home loans is:
- They have selective eligibility rules.
- They are only available to those who meet the VA’s qualifications.
- You might have to pay a VA loan funding fee. These vary by type of VA loan, first time use, or if there is a downpayment. Disabled Veterans do not have to pay it. In general, its range can be from 0.5% to 3.6%
What Kind of VA Loans Are There?
There are various VA loan types, and which one you should receive depends on where you are in your home-buying process. For starters, you don’t need a COE (Certificate of Eligibility) from the Veterans Administration to start the VA loan process, it is possible to get started without one and even get a pre approval letter without it, but it will be needed by your lender before closing. BrickWood Mortgage will be happy to work with the VA to obtain your Certificate of Eligibility (COE).
Here’s all you need to know about the various types of VA loans.
VA IRRRL(Interest Rate Reduction Refinance Loan)
The IRRRL provides a simplified method for refinancing your existing VA debt. An IRRRL can be suitable if you want a reduced interest rate or monthly payment. Furthermore, you can effectively refinance your VA loan if you qualify for a funding fee waiver.
VA Purchase Loan
The VA purchase loan is intended for the acquisition of an existing home. These loans are only used to acquire a Primary Residence. If you want to rent out the other units, you can purchase a property with up to four of them. To be deemed your Primary Residence, you only reside in one of the apartments.
VA Cash-Out Refinance
If you’ve built sufficient home equity and want instant cash, a cash-out refinance is one option. We recommend using a VA cash-out refinance to refinance a loan with a higher interest rate or to take cash out.
VA Loan eligibility
You are qualified to apply for a VA loan if you meet the following criteria:
- You have served 90 consecutive days in active duty.
- You are a veteran who has served a minimum of 90 days during a war and 181 days during peacetime.
- You served 90 days (3 months) on active duty or six years in the Selected Reserve or National Guard.
- You are the widow or widower of a veteran who died in service or from a service-connected disability and has not remarried. Or you remarried after age 57 or on December 16, 2003. Spouses of service members who have gone missing in action or are prisoners of war are also eligible.
How to apply for a VA Loan
You are in luck, as a mortgage broker in the Myrtle Beach and the overall Grand Strand area, BrickWood Mortgage is one of the authorized sources for VA loans, additionally these might also be obtained from a bank, or credit union. The application process is similar to other types of mortgages in that you provide employment, income, and additional financial information, and the lender determines whether you qualify.
Getting a home in Grand Strand, South Carolina, just got easier. With BrickWood Mortgage, the goal is to ensure that you are equipped with the right tools to get your dream home. From Horry County, Mt Pleasant, Loris, and Myrtle Beach, down to Charleston County, there are many options for you to explore. Call the BrickWood Mortgage experts at (843) 314-4101 to discuss your best home loan options and get a step closer to your South Carolina dream home.