Idaho Mortgage Refinance
Idaho Mortgage Refinance Loans
An Idaho Mortgage refinance can be very helpful and effective for borrowers if they are aware of certain mortgage tips. Above all, while seeking a convenient type of mortgage refinance loan one should take into account his/her current financial situation. Whatever Idaho refinance mortgage loan is chosen one has to study all the connected data to prevent mistakes which may lead to the loss of real estate.
An Idaho mortgage is generally the largest debt most homeowners have to manage. It’s a good idea to give your personal real estate finance portfolio a check-up at least once a year. Below I have outlined four main reasons why you should look into obtaining an Idaho refinance.
Since there are many reasons a homeowner may choose an Idaho Refinance, we’ll take a look at the four most common.
1. Mortgage Rates Drop:
Typically, the most common reason that homeowners do an Idaho refinance is to secure a lower interest rate. Rate and loan amount determines the total cost that a borrower will pay.
The lower the interest rate, the less the overall cost will be. Interest is calculated on a daily basis and usually paid back to the lender on a monthly basis.
2. Lower Payments:
Lowering a mortgage payment can be achieved by doing an Idaho refinance and lowering the mortgage rate, lengthening the loan term, combining two or more loans or removing mortgage insurance.
3. New Mortgage Program:
An Adjustable Rate Mortgage (ARM) to a new Fixed Rate Mortgage (FRM), combining a first and second mortgage or paying off a balloon loan are three possible reasons to explore an Idaho refi.
4. Debt Consolidation:
If there is sufficient equity, sometimes paying off consumer debt by combining all debts into one lower monthly mortgage payment can significantly reduce the short-term deficits in a budget. However, it’s important to keep in mind the total cost of that debt by adding it into a 30 year mortgage payment.
Within recent decades Idaho mortgage loans have become an everyday occurrence, spreading over all of society. The necessity and importance of Idaho mortgage loans are doubtless, therefore everyone who wishes to take advantage of an Idaho mortgage should gain a complete understanding of its types, relevant terminology, benefits and such options as an Idaho mortgage refinance.
Choosing a certain type of mortgage it is important to know to which extent interest rates depend on the value of real estate and what Idaho home mortgage loan rates evolve from. In general, all Idaho mortgages can be divided into secured and unsecured ones. The main types of mortgage are the adjustable or variable rate mortgage and the fixed mortgage. Adjustable rate mortgage allows to change the interest rate within certain time frames of time. The intervals rely on a fixed financial index, with the payment rising in conformance with the interest rates. In case the latter are low, this kind of mortgage loan gives 100 % benefit.
As to the fixed rate mortgages, it is the very most widespread kind of Idaho mortgage loan, while the interest rate doesn’t change during the entire term of loan. Being the oldest type of mortgage, it is especially popular among householders. Other types of mortgage include Idaho FHA Home loan, Idaho VA Mortgage, Idaho Rural Development Home loan, Idaho Jumbo mortgage, Idaho FHA Reverse Mortgage and Idaho Rehab Loan property loan. Actually the kind of mortgage is determined by the Idaho mortgage loan program of a certain mortgage loan company.
If the client is proceeding to take out a new loan which permits to compensate the current mortgage, he or she can use the option called a refinance mortgage loan. Having a low interest rate, the refinance home mortgage loan is a good choice for those who want to pay back the whole debt in a short term. In addition, a refinance mortgage loan is an ideal opportunity to pay off the debts for those who are no more able to fix their mortgage home loan.
Frequently Asked Questions:
Q: Do I have to do an Idaho Refinance with my current mortgage company?
No, you may choose any company to do an idaho refi on your home loan since the new loan will replace the existing mortgage.
Q: Is it easier to do a loan with my current mortgage company?
It is possible your current loan company may require less documentation, but this could add additional cost or a higher interest rate. Do your homework and shop around to make sure you’re getting the best deal.
Q: Will I automatically qualify if I’ve never made any late payments?
No, you will have to qualify for your new home loan However, certain programs will allow for reduced documentation like a FHA to FHA Streamline loan.
If you have questions about whether or not it would be a good idea or not to do a refi feel free to contact me to go over your options.
October 18, 2015 by Rick & Jane May · 1 Comment
Idaho VA Home Loan Refinancing For Eligible Homeowners
Idaho VA Home loans allow you to refinance your home to take advantage of lower interest rates that can ultimately save you sizable sums of money in both the long-run and the short-run by lowering your monthly payment.
If you currently have a Idaho conventional loan, you can refinance into an Idaho VA Home loan if you are an eligible veteran or member of the armed services. Transferring from a Idaho conventional mortgage to an Idaho VA Home Loan is known as a “Idaho Conventional to Idaho VA Refinance Loan” and is a very straightforward process.
The “Conventional to VA Refinance Loan” process is described in detail in our article Can I Qualify For An Idaho VA Refinance If I Currently Have An Idaho Conventional Loan?
A common question related to VA refinancing is whether or not you can get a refinance on a VA loan if you are currently upside down on your mortgage. The answer is…you can!
Just to be clear, being “upside down” on a mortgage is when you owe more on your mortgage than the current value of your home. This is a highly unfortunate situation that many American home owners are facing today.
In 2008 a law titled the “Veteran Benefits Improvement Act” was passed to assist veterans who were upside down on their mortgage. This law created the opportunity for eligible veterans to get an Idaho VA refinance and improve their financial circumstances.
The enhancements made to the VA home loan program are described in our article Can I Refinance My VA Loan If I Am Upside Down On My Mortgage?
Of course, you are also allowed to refinance your home if you currently have an Idaho VA mortgage. An Interest Rate Reduction Refinancing Loan (IRRRL) is considered a Idaho VA Streamline Refinance. This is a quick and easy way to either lower your monthly mortgage payment or take money out of your home with minimal work, at no cost to you!
Some of the additional benefits of an Idaho VA Streamline Refinance or IRRRL include:
- In some cases, you may not need to have an appraisal of your home.
- Limited income verification.
- An extremely low VA Funding Fee – only 0.5%
Frequently Asked Idaho VA Loan Questions:
Q: What is a VA Guaranteed Home Loan?
A: VA guaranteed home loans are loans made to eligible veterans for the purchase of a home as their primary residence. The guaranty means the lender is protected against loss if you fail to repay the loan. The guaranty replaces the protection the lender normally receives by requiring a down payment allowing you to obtain favorable financing terms.
Q: Does my entitlement guarantee that I will get a home loan?
A: No VA cannot compel a lender to make a loan that would violate their lender policies.
Q: How much is my entitlement?
A: Your basic entitlement is $36,000. For loans in excess of $144,000 to purchase or construct a home, additional entitlement up to an amount equal to 25 percent of the Idaho VA county loan limit for a single family home may be available . This means that qualified veterans could get a no down payment purchase loan for those amounts.
Q: How do I apply for a VA guaranteed loan?
A: You can apply for a VA loan with my company who is a mortgage lender that participates in the VA home loan program. At some point you will need to get a Certificate of Eligibility from VA to prove to the lender that you are eligible for a VA loan.
Q: How do I get a Certificate of Eligibility?
A: Complete a VA Form 26-1880, Request for a Certificate of Eligibility. You can apply for a Certificate of Eligibility by submitting a completed VA Form 26-1880, Request for a Certificate of Eligibility for Home Loan Benefits, to the Winston-Salem Eligibility Center, along with proof of military service.
Q: Can my lender get my Certificate of Eligibility for me?
A: Yes, it’s called Web LGY. Most lenders have access to the Web LGY system. This internet based application can establish eligibility and issue an online Certificate of Eligibility in a matter of seconds. Not all cases can be processed through Web LGY – only those for which VA has sufficient data in our records.
Q: What is acceptable proof of military service?
A: If you are still serving on regular active duty, you must include an original statement of service signed by, or by direction of, the adjutant, personnel officer, or commander of your unit or higher headquarters which identifies you and your social security number, and provides your date of entry on your current active duty period and the duration of any time lost.
If you were discharged from regular active duuty after January 1, 1950 a copy of DD Form 214, Certificate of Release or Discharge From Active Dutyshould be included with your VA Form 26-1880. If you were discharged after October 1, 1979, DD Form 214 copy 4 should be included.
If you are still serving on regular active duty, you must include an original statement of service signed by, or by direction of, the adjutant, personnel officer, or commander of your unit or higher headquarters which shows your date of entry on your current active duty period and the duration of any time lost.
If you were discharged from the Selected Reserves or the National Guard, you must include copies of adequate documentation of at least 6 years of honorable service. If you were discharged from the Army or Air Force national Guard, you may sumit NGB Form 22, Report of Separation and Record of Service, or Reserve, you may submit a copy of your latest annual points statement and evidence of honorable service. Unfortunately, there is no single form used bythe Reserves or National Guard similar to the DD Form 214. It is your responsibility to furnish adequate documentation of at least 6 years of honorable service.
If you are still serving in the Selected Reserves or the National Guard, you must include an original statement of service signed by, or by the direction of, the adjutant, personnel officer, or commander of your unit or higher headquarters showing length of time that you have been a member of the Selected Reserves. Again, at least 6 years of honorable service must be documented.
Q: How can I obtain proof of military service?
A: Standard Form 180, Request Pertaining to Military Records, is usd to apply for proof of military service regardless of whether you served on regular active duty or in the selected reserves. This request form is not processed by VA. Rather, Standard Form 180 is completed and mailed to the appropriate custodian of military service records. Instructions are provided on the reverse of the form to assist in determining the correct forwarding address.
Q: I have already obtained one VA loan. Can I get another one?
A: Yes, your eligibility is reusable depending on the circumstances. Normally, if you have paid off your prior VA loan and disposed of the property you can have your used eligibility restored for additional use. Also, on a one-time only basis, you my hae your eligibility restored if your prior VA loan has been paid in full but you still own the property.
Q: Is the surviving spouse of a deceased veteran eligible for the home loan benefit?
A: The unmarried surviving spouse of a veteran who died on active duty or as the result of a service-connected disability is eligible for the home loan benefit. In addition, a surviving spouse who obtained a VA home loan with the veteran prior to his or her death (regardless of the cause of the death), may obtain a VA guaranteed interest rate reduction refinance loan.
If you have any questions about a VA home loan feel free to contact us.
March 14, 2012 by Rick & Jane May · Leave a Comment
What Is An Idaho Reverse Mortgage ?
What is an Idaho Reverse Mortgage ?
An Idaho Reverse Mortgage, also known as a HECM (Home Equity Conversion Mortgage), is a loan made to a person age 62 or older. There are no income, credit or health requirements associated with the loan.
The amazing thing about the Idaho Reverse Mortgage is that you can take out a lump sum payment (tax free) to yourself or you can have a monthly payment sent to you (tax free) every month or you can have a line of credit set up for when you need it.
All of these things without having to make a monthly payment for the rest of the time you occupy the property as your primary residence for as long as you live.
So you are probably wondering how does the Idaho Reverse Mortgage Loan Work? Below I have outlined the different payment options that are available to as a borrower to receive.
1. Tenure – equal monthly payments as long as at least one borrower lives and continues to occupy the property as a principal residence.
2. Term – equal monthly payments for a fixed period of months selected.
3. Line of Credit – unscheduled payments or in installments, at times and in an amount of your choosing until the line of credit is exhausted.
4. Modified Tenure – combination of line of credit plus scheduled monthly payments for as long as you remain in the home.
5. Modified Term – combination of line of credit plus monthly payments for a fixed period of months selected by the borrower.
Idaho Reverse Mortgage HECM loans does not require any form of repayment as long as the home is your principle residence. Lenders recover their principal, plus interest, when the home is sold. The remaining value of the home goes to you or your heirs.
One of the great things about an Idaho FHA Reverse Mortgage Loan is that you can never owe more than your home’s value. If you sale your home and the proceeds are not enough to pay the amount that is owed, then FHA will pay the lender the amount that is owed. FHA collects an insurance premium at closing from all borrowers to provide this coverage.
The amount you can borrow depends on your age, the current interest rate, other loan fees, and the appraised value of your home or FHA’s HECM mortgage limit for your area, whichever is less. Generally, the more valuable your home is, the older you are, and the lower the interest rate, the more you can borrow.
There are no assett or income limitations in order for you to be eligible for a HECM.
If you or anyone you know has any questions about the Idaho FHA Reverse Mortgage feel free to contact me.
Q: What are the Borrower Requirements for an Idaho (HECM) Loan ?
– Be 62 years of age or older
– Own the property outright or have a small mortgage balance
– Occupy the property as your principal residence
– Not be delinquent on any federal debt
– You must participate in a consumer information session given by an approved HECM counselor
Q: How do I know how much of a mortgage I qualify for?
Mortgage amounts are based on:
– Age of the youngest borrower
– Current Interest rate
– Lesser of appraised value or the Idaho HECM FHA mortgage Limit
Q: Do I have to have a job or income to qualify? What are the financial requirements?
– No income or credit qualifications are required of the borrower
– No repayment as long as the property is your principal residence
– Closing costs may be financed in the mortgage
Q: What kind of properties are allowed?
– Single family home or 1-4 unit home with one unit occupied by the borrower
– HUD-approved condominium
– Manufactured home that meets FHA requirements
Q: When do I have to Repay the loan?
A: An Idaho HECM Reverse Mortgage must be repaid in full when you die or sell the home. The loan also becomes due and payable if:
– You do not pay property taxes or hazard insurance
– You permanently move to a new principal residence
– You, or the last borrower, fail to live in the home for 12 months in a row. An example of this situation would be if you (or the last borrower) were to have a 12-month or longer stay in a nursing home.
– You allow the property to deteriorate and do not make necessary repairs.
If you or anyone you know could benefit from an Reverse Mortgage loan please feel free to contact me with questions.
Top 10 Boise Idaho Mortgage Links/Articles/Questions
1. Boise, Idaho FHA Reverse Mortgage Home Loans
2. No Money For a Down Payment? No Problem Try an Idaho USDA Rural Development Home Loan
3. How does the Idaho FHA Reverse Mortgage Loan Work?
4. 3 Great Idaho First-Time Home Buyer Mortgage Loans
5. Common Idaho FHA HECM Reverse Mortgage Frequently Asked Questions
6. Jumbo Mortgage Financing for Boise, Idaho Properties
7. Conventional Home Loans For Boise Idaho Borrowers
8. VA Mortgage Loans in Boise Idaho
9. Boise Idaho Reverse Mortgage Senior Loans
10. FHA Mortgage Loans in Boise Idaho
March 7, 2012 by Rick & Jane May · Leave a Comment
NO APPRAISAL – IDAHO FHA STREAMLINE REFINANCE MORTGAGE
An Idaho FHA Streamline Refinance With No Appraisal is the best way to go if you live in Boise, Idaho and are looking to Refinance your home and you currently have an FHA loan.
Benefits of a Boise Idaho FHA Streamline Refinance
- Appraisal usually not required
- Very little paperwork
- No Appraisal Fee (if doing no appraisal option)
- Easily increase or decrease the length of the term of your existing loan
- Take advantage of current low interest rates
- Little or no out-of-pocket costs
If you own a home and you still owe mortgage payments, chances are with interest rates as low as they are you are examining your refinancing options. In today’s economy everyone needs a way to lower their monthly payments and make housing more affordable. An Idaho FHA Streamline Refinance is a great way for a borrower to take advantage of the great interest rates on the market without needing to get an appraisal.
One of the best features of an FHA Streamline Refinance is that an appraisal does not have to be done on the property. As many of you know property values have been on the decline so appraisals have been coming back with values lower than what is needed to refinance many properties. That is why it is very beneficial not needing an appraise done when you refinance your home with an Idaho FHA Streamline Refinance. This also allows means that there isn’t an appraisal fee associated with your FHA refinance.
FHA Streamline Refi’s are a great way to lower your interest rate and your payment without going through the hassles of a standard refinance by not needing an appraisal and there is less documentation required from you by the lender.
A main benefit with Streamline FHA loans is that your monthly payments are permanently lowered. The extra money you have at the end of the month can go a long way toward helping you reach your financial goals.
If you live in Idaho and you have an Idaho FHA Mortgage then an Idaho FHA Streamline Refi is a great way to go. If you have any questions about refinancing your home. Feel free to contact me.
FHA Streamline Requirements
There are certain requirements of a FHA Streamline Refinance. First and foremost, your existing loan must be FHA-insured, current, and in good standing. The borrower must have opened the loan at least six months prior to refinancing. The Streamline Refinance must lower the borrower’s interest rate, thus lowering monthly payments. Cash back is not an option for this type of refinance.
November 9, 2011 by Rick & Jane May · 4 Comments
Refinancing My Idaho VA Loan With the IRRRL Program
The main reason why Idaho VA IRRL Refinance loan is so popular is that it doesn’t require an appraisal. But in states where home values have declined so severely many folks who have VA loans don’t have enough value in their home to at least match their mortgage amount that they are trying to refinance. In these states most VA loan lenders are requiring appraisals as an extra measure of caution outside of the standard VA loan requirements set by the VA. It is unfortunate – but it is what it is.
Now, if you live in other states where this loan program may be a viable option to refinance your Idaho VA home loan to take advantage of streamline low VA rates then you may want to pick up the phone and call our Idaho mortgage company to see what is possible for you.
You may be wondering if there are other requirements of the Idaho VA IRRRL – or Idaho streamline VA refinance. To satisfy your curiosity below you’ll find some of the other requirements.
VA Streamline Requirements
- Must be current on your mortgage payment
- Cannot have been 30 days late on your mortgage payment in the past 12 months
- You must be able to lower your mortgage payment with this refinance, unless you are refinancing from an adjustable rate mortgage.
- You cannot use this mortgage for cashout purposes unless you are getting money for energy improvements.
- In many states you may have to get an appraisal.
- In many states you may have to prove income.
- In many states you may have to have a minimum credit score.
If you meet some of these requirements and you are wondering about refinancing your Boise Idaho VA loan now is the time to call us to see if it works for you to use the IdahoVA IRRL Refinance – No Appraisal .
October 14, 2011 by Rick & Jane May · 5 Comments
Idaho VA Loan Pre-Approval Letter
An Idaho VA loan pre-approval letter is a document granted by an Idaho VA mortgage lender that states that based on preliminary information such as the potential borrower’s credit, assets, and income, that they qualify for a Veterans Administration loan of a specified amount.
It is different from a pre-qualification in that some or all of the submitted information is reviewed for accuracy before the letter is issued.
Having a pre-approval letter from your Idaho VA lender will show home sellers that you are a qualified buyer and may lead to your offer being more seriously considered.
Once you have obtained your Veterans Administration loan pre-approval letter, you will then be able to begin making offers on homes you are interested in purchasing.
In order to get your VA loan pre-approval letter, your lender may require the following:
- At least one months pay stubs or LES (if still active duty).
- W-2′s and Tax Returns for the past two years.
- Two months bank statements for any/all assets.
- Your DD 214 form (if no longer on active duty).
- Statement of Service from S1 (if still active duty)
Your pay stub is needed to show that you are currently employed, as well as your current income. W-2 statements (for the past two years) then show how much you normally earn in a year.
If you are currently still on active duty, your Statement of Service must show a minimum of 12 months remaining on your contract.
Finally, your DD 214 form will enable your Idaho VA mortgage lender to decrease the amount of time necessary for processing your certificate of eligibility. Once again, this is not required, but it is generally a smart idea.
The reason why this is a smart idea is that the majority of direct lenders with the Veterans Administration can put in an order for your certificate of eligibility, which determines whether or not you are eligible for a VA loan.
The process can be very quick as long as you turn in all these documents as soon as possible to your loan officer.
After your Idaho VA loan officer or lender has the described documents, he or she can submit your information in the VA loan analysis software to determine your eligibility. The calculation that will determine your eligibility is:
(Monthly Income) – (Proposed Mortgage Payment + Insurance + Taxes + Utilities for the house + Monthly Credit Card Payments Due) = Residual Income
Residual income is the amount of money that you have after you have paid the sum of your monthly bills. The VA will use their judgment after they have calculated your residual income to decide if you will have a satisfactory amount of money left over after you have paid your bills.
The VA has established various requirements for what your minimum residual income will have to be, such as what part of the country you live in, the size of your family, how old your children are, and various other factors.
When obtaining VA pre-approval letter, be aware that simply getting the letter does not commit the lender to giving you a loan. It just means the initial information has been reviewed. In order for the mortgage application to be approved additional information and documentation about both the borrower(s) and the property must be reviewed to be sure that all of the guidelines are met.
If you have any questions about a VA home loan feel free to contact me.
May 11, 2011 by Rick & Jane May · Leave a Comment
Idaho VA Jumbo Mortgage Home Loan Financing
If you’re looking at buying the home of your dreams – and the price reflects it – then an Idaho VA jumbo mortgage loan may very well be the best option for your mortgage.
In most veteran loan scenarios, the VA guarantees up to 25% of the total amount of the loan up to the Idaho Veterans Administration loan limit in your county – which, in much of the US, is $417,000.
But what happens when the value of the loan exceeds your county loan limit?
This is where an Idaho VA jumbo mortgage loan come into the picture.
For the purposes of this example, let’s say that you live in a county where the Veterans Administration loan limit is indeed $417,000. You find the perfect house for you and your family, and it’s selling for $517,000.
You decide that you would like to use your hard-earned veteran benefits to take out an Idaho VA mortgage loan!
So, the Veterans Administration guarantees $104,250 of your loan (with $104,250 being 25% of $417,000). Yet what happens with the remaining $100,000 of the loan?
Simple. The U.S. Department of Veterans Affairs mandates that on jumbo loans above the county loan limit, the borrower put down 25% of the difference between the cost of the loan and the applicable county VA loan limit.
Continuing on with our Idaho jumbo loan example from above, 25% of $100,000 ($25,000) would be required as a down payment, and the Veterans Administration would guarantee 25% of $417,000 ($104,250).
Not bad at all! In this example you’re buying your $517,000 dream home for only $25,000 down in addition to the required closing costs.
The real value of an Idaho VA jumbo mortgage loan is apparent when you compare and contrast it to the standard down payment requirement of an Idaho conventional mortgage, which is typically 20% to avoid paying private mortgage insurance.
This means that for the example $517,000 house, a conventional loan down payment would be $103,400 while a VA loan down payment would only be $25,000. That’s less than one quarter of the down payment required for the conventional loan in this scenario!
Please keep in mind while house shopping that Veterans Administration county loan limits vary widely throughout the country and will be higher in areas with especially high property values. Once again, the standard VA county loan limit is $417,000, but it’s smart to check with your local VA mortgage agent prior to looking at houses.
For example, as of 2011 the VA county loan limit for Marin County is $1,000,000! San Francisco County has a loan limit of $1,000,000 as well.
To check what the VA county loan limits are for each county in the United States, you can visit the U.S. Department of Veterans Affairs at their loan limit website. For counties that are not listed on the website, the official VA loan limit is automatically set at $417,000.
Why is there such as large difference in county loan limits throughout the nation? In short, because the various housing markets across the country vary greatly.
In San Francisco a small single-family house may sell for $1,000,000, while in other places you might be able to find a similar house for $100,000!
If you are in Idaho and in need of a substantial home loan, an Idaho VA jumbo Mortgage loan is certainly worth checking out.
May 11, 2011 by Rick & Jane May · Leave a Comment
Boise Idaho Residents Can You Have More Than One VA Mortgage Loan ?
The short answer to the question “How many Idaho VA loans can I have?” is that there is no limit on the amount of times eligible veterans are allowed to use their VA loan benefits.
This answer often surprises veteran borrowers who have used the program before.
As you are probably well aware, a Idaho VA loan offers many benefits unavailable with Idaho conventional loans.
In many ways, the procedure for getting a second (or third, or fourth…) VA loan is similar to obtaining the initial home financing.
First, veterans must be able to show that they satisfy the basic eligibility rules mandated by the U.S. Department of Veterans Affairs. The eligibility requirements can be found at the following Department of Veterans Affairs General Rules of Eligibility website.
Second, the Idaho VA loan has to be received through a lender that has been approved by the U.S. Department of Veterans Affairs. It is important to check with lenders prior to starting to ensure that they are qualified to provide an Idaho VA mortgage.
Third, the VA will analyze your mortgage application including your payment history on your previous loan to see if you have a history of paying your mortgage on time or have gone into default at some point.
The VA loses money veteran borrowers go into default, which means they are essentially doing a cost analysis on you to decide whether or not to grant you another VA loan. In addition if the VA suffered a loss on a previous loan you will be required to repay it before having your eligibility fully restored.
If you currently have an Idaho VA mortgage, or have had one in the past, then you already know about the required VA funding fee. However, there are differences between what the funding fees are for first-time Idaho VA loan borrowers and subsequent borrowers.
For Idaho VA loans, regular military members are categorized as either a first time user or a subsequent user. For first time users the fee structure is set up as follows:
* No down payment: 2.15% fee
* Up to 10% down payment: 1.5% fee
* More than 10% down payment: 1.25% fee
For subsequent users the fee structure is:
* No down payment: 3.3% fee
* Up to 10% down payment: 1.5% fee
* More than 10% down payment: 1.25% fee
The funding fee requirement for both the Reserves and National Guard members is different than that for the regular military. For first time users, the fee structure is:
* No down payment: 2.4% fee
* Up to 10% down payment: 1.75% fee
* More than 10% down payment: 1.5% fee
For subsequent users the fee structure is:
* No down payment: 3.3% fee
* Up to 10% down payment: 1.75% fee
* More than 10% down payment: 1.5% fee
Basically, the only difference between funding fees for first-time and subsequent Idaho VA loan borrowers is for “no down payment” scenarios.
If you are planning on making a down payment on your subsequent Idaho VA loan, then there will not be any difference from what you would pay for a first-time VA mortgage.
It’s important to understand that you may not hold more than one VA loan at a time. The loan you took out previously must be repaid in full before you will be eligible to apply for a new VA mortgage. If you still own the property but it is no longer financed with a VA loan (either because you refinanced or paid off the mortgage) you may request a one-time exception to have your eligibility restored.
Even if the loan was assumed by another party, the loan must either be repaid or if the assumer is eligible for a VA loan, they could transfer their eligibility to the loan.
If you have any Questions about how to obtain an Idaho VA Home Loan please feel free to contact me. My information is below.
May 9, 2011 by Rick & Jane May · Leave a Comment
Refinance Into a Boise Idaho VA Mortgage Loan If I Have A Conventional Loan Already?
Idaho VA Home Financing Loans for Boise and Idaho areas is for veterans and active duty military personnel and certain members of the reserves and National Guard. VA’s program provides an excellent product and benefit for those individuals who have served or are serving to protect our families and our nation.
Can I refinance my current conventional loan into a VA Loan?
If you currently have a Idaho conventional loan, yes, you can refinance into an Idaho VA loan mortgage if you are an eligible veteran or member of the armed services.
Better yet, you may be able to save a great deal of money with a VA refinance!
Transferring from a Idaho conventional mortgage to an Idaho VA mortgage is known as a “Conventional to VA Refinance Loan,” and is a very straightforward process.
Below are some of the advantages offered by switching from a conventional mortgage to a VA mortgage:
* You may be able to lower your interest rate and your monthly payment with low VA refinance rates.
* You are not required to put any money down to get a VA loan refinance.
* Private mortgage insurance is also not required even for those borrowing more than 80% of the home’s value. Not having to pay private mortgage insurance (or PMI for short) can result in significant savings.
* You have the option of refinancing to a fixed rate mortgage to ensure that your interest rates do not fluctuate over time.
Remember, even if you can only lower your interest rate by a .5% percent you could be saving thousands of dollars over time!
Add to that the saved costs of not having to pay private mortgage insurance, and you’re truly looking at substantial savings in both the long and short run.
If you are comfortable with your current mortgage payment you could choose to pay off your loan more aggressively by selecting a shorter term for your refinance loan.
By moving from a 30 year loan term to a 20 or 15 year term you will pay off your loan years sooner, eliminating a decade or more of interest payments. In addition, interest rates for shorter term loans are often lower than 30 year term loans and will save you thousands of dollars in interest paid.
Have us run the numbers so you can see for yourself what you could save.
Frequently Asked Questions About Boise Idaho VA Home Loans :
Primary Benefits of a VA Home Loan:
- 100% financing
- No monthly private mortgage insurance is required
- There is a limitation on buyers closing costs
- The loan is assumable, subject to VA approval of the assumer’s credit
- 30 year fixed loan
- Seller can pay up to 4% of the veterans closing costs and even pay down your debt to help lower your debt-to-income ratio
- Interest rates are similar to FHA rates
- You don’t need perfect credit
If you have any Questions about how to obtain an Idaho VA Home Loan and replace your existing Idaho Conventional Home Loan please feel free to contact me. My information is below.
May 9, 2011 by Rick & Jane May · 2 Comments