Are you wonder what VA loan is? It is a just like a normal loan, but is given only to those who have or are fighting bravely for their country. It is a loan that is specified for servicemen, servicewomen and veteran who deserve this for all their services and efforts that they have done courageously for our nation. It is an exclusive opportunity for them to fulfill their dream of having their own home. There are many advantages of this kind of loan, few of those are as follows.
No Down Payment
The biggest advantage of VA loan, is that in this you don
t have to pay any down payment. There is no other mortgage loan where you dont have to pay down payment for buying a new house. Mostly there are families who spend almost all of their lives saving for paying down payment of their house. This is a big advantage that in most of the cases these veterans are not charged with down payment and it is waived off.
Lower Interest Rates
Second advantage is that with this kind of loan, they have to pay lower rate of interest. This means that they have to pay less amount as monthly repayments as well as they will be able to repay their loan payment faster than others who are paying these at higher interest rate.
Other than these two major advantages you can also avail following added advantages on VA loans.
You can prepay your loan without any disadvantage or penalties.
If the home is sold of the mortgage will be taken by the buyer.
Further there will be special counseling for those who are facing difficult situation with their finances.
These are few advantages that make these loans different from other kind of mortgage loans.