Home Loan Assistance for Veterans and Military Families
The U.S. Department of Veterans Affairs (VA) has implemented programs to help service members, veterans, and eligible surviving spouses fulfill the dream of owning their own homes. The mortgage loans available under these programs are provided and serviced by private lenders, but the VA guarantees a portion of each loan. This lowers the risk to the private lenders, meaning they are able to offer more favorable terms for prospective homeowners.
One type of assistance offered by the VA is a Purchase Loan. As the name implies, this program helps eligible men and women to affordably purchase a home at a competitive interest rate. Oftentimes, these purchase loans won’t require a down payment or private mortgage insurance, both of which are invaluable financial benefits in the short-term and over the long-term, respectively.
A second type of assistance available through the VA is the Interest Rate Reduction Refinance Loan (IRRRL). This program benefits service members, veterans and surviving spouses who already own homes under a VA loan but wish to refinance to a lower interest rate and lower monthly payments. Sometimes referred to as a Streamline Refinance Loan, an IRRRL home loan will typically be refinanced with no out-of-pocket cost.
In addition to these home loan programs, the VA also makes every effort to assist those struggling to meet monthly mortgage payments, regardless of VA loan status. Veterans, service members and eligible surviving spouses may contact a VA Regional Loan Center representative at 1-877-827-3702 to receive financial counseling designed to help prevent foreclosure.
For more information on any of these home loan assistance programs, please visit U.S. Department of Veterans Affairs Home Loan Program.
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