Florida Mortgage Corporation is Florida's Premier VA Lender. Our staff has many years of VA financing experience and we are approved by the VA to originate VA home loans.
A VA loan program makes home ownership much easier, particularly for first time home buyers.
Little or no money down
Credit underwriting is "less" restrictive.
Qualifying debt-to-income ratios are higher than any other loan programs, which means a veteran can obtain a higher loan amount.
VA underwriting is more understanding of individuals and families who have had to file bankruptcy due to involuntary circumstances.
If you are an existing homeowner considering a refinance, the VA program allows you to go as high as 90% loan to value.
Certificate of Eligibility:
Speak with a Veteran Home Loans representative. He/she will have you complete VA form 26-1880, which is called Request for Determination of Eligibility and Available Loan Guaranty Entitlement. In addition, the veteran will need one of the following supporting documents:
The veteran buyer cannot pay "lender fees." The veteran can, and will be obligated to pay all other closing costs. HOWEVER, the veteran's buyer's agent can, as part of contract negotiation, request the "seller" to pay all closing costs including pre-paid costs and reserves.
No down payment is required if Veteran has full entitlement. You will be required to put down an earnest money deposit of $500/$1,000 on signing a contract. This can be refunded at closing or offset against closing costs. This is dependent upon your contract terms.
Single Family, Veteran-occupied 2-4 units, PUD's & Condo's (approved by FHA or VA) proposed or existing construction. Mobile homes on fixed foundation.
The VA loan
must be paid in full and the veteran must have disposed of the property securing
The VA charges a fee for using your benefits. These are as follows:
Purchase/Refinance-- First-time use -- 2% of loan amount
Purchase -- Second time and repeat use -- 3% of loan amount
Streamline Refinance -- 0.5%
* This fee may be reduced should the Veteran buyer put down 5% or more on the purchase price.
* Reservists pay .75% higher on purchases and refinances.
Note: The VA Funding Fee can be paid in cash, or it can be added to the loan amount for purchase transactions and all refinances.
Any Veteran or Reservist who has been classified as having a 10% or greater service related disability DOES NOT HAVE TO PAY THE VA FUNDING FEE -- EVER.
VA will guarantee up to 50 percent of a home loan up to $45,000. For loans between $45,000 and $144,000, the minimum guaranty amount is $22,500, with a maximum guaranty, of up to 40 percent of the loan up to $36,000, subject to the amount of entitlement a veteran has available. For loans of more than $144,000 made for the purchase or construction of a home or to purchase a residential unit in a condominium or to refinance an existing VA guaranteed loan for interest rate reduction, the maximum guaranty is 25 percent up to $50,750.
You may generally borrow up to the reasonable value of the property or the purchase price, whichever is less, plus the funding fee, if required. For certain refinancing loans, the maximum loan is limited to 90 percent of the value of the property, plus the funding fee, if required. To determine the reasonable value, VA requires an "appraisal" of the property.
Although there is no maximum VA loan (limited only by the reasonable value or the purchase price), lenders generally limit the maximum VA loan to $203,000 because most VA loans are sold in the secondary market, which limits VA loans to that amount.
VA (Veterans Administration) currently insures three types of loan programs. They are:
30 Year Fixed Rate
15 Year Fixed Rate
2/1 Fixed Rate Buy-Down
3/1 Fixed ARM Rate
Any of these programs may be used for both purchasing a home or refinancing your existing VA loan.
What Can a VA Loan be Used For?
To buy a home, including townhouse or condominium unit in a VA-approved project.
To simultaneously purchase and improve a home.
To improve a home by installing energy-related features such as solar or heating/cooling systems, water heaters, insulation, weather-stripping/ caulking, storm windows/doors or other energy efficient improvements approved by the lender and VA. These features may be added with the purchase of an existing dwelling or by refinancing a home owned and occupied by the veteran. A loan can be increased up to $3,000 based on documented costs or up to $6,000 if the increase in the mortgage payment is offset by the expected reduction in utility costs. A refinancing loan may not exceed 90 percent of the appraised value plus the costs of the improvements. Check with one of our Loan Agents or VA for details.
To refinance an existing VA home loan up to 90 percent of the VA-established reasonable value or to refinance an existing VA loan to reduce the interest rate.
To buy a manufactured home and/or lot.
VA Streamline Refinance:
An Interest Rate Reduction Loan or Streamline Refinance allows you to refinance your current mortgage interest rate to a lower rate than you are currently paying. This is only available to veterans who are refinancing their original VA mortgage and utilized their original eligibility.
No assumptions are permitted.
VA does not require an appraisal, any income or employment verifications, and no credit report, yet the mortgage must have been paid as agreed for the last twelve (12) months and must be up to date at the time of refinancing.
This loan can be done with "no out of pocket money" by including all costs in the new loan or by making the new loan at an interest rate high enough to enable the lender to pay the costs.