If I already have a VA Loan financed with my home mortgage, can I refinance with a second VA Loan? Will it save me money?
Houston, San Antonio, Austin, Dallas, Texas, Florida, Hawaii, North Carolina, Arkansas (PRWEB) December 21, 2011
With the United States economy still in recession, many military families are experiencing financial depression when being faced with high monthly mortgage payments. This is especially true for military families who are welcoming their primary caregivers/veterans heroes back home from deployment in Iraq). Due to the overwhelming need for financial preparedness, mortgage loan support, and VA loan education for veterans alike, Security America Mortgage, Inc., a VA loan company that ranked highest by veteran home buyers as one of the top recommended sponsors servicing the mortgage lending industry, recently obtained data from a social study over a group of veterans and active-duty military personnel who were previously accustomed to living on base and/or overseas in the barracks. The study was acquired in order for the company to assess the greatest core needs of the VA client so that the company could; 1. define exactly where services will best be used, and 2. see where the company services could be improved.
The results of the social study concluded that the majority of veterans who were fresh from living the military lifestyle had to learn how to manage money all over again, fast, and from a civilian perspective with little assistance. Also, according to the data collected, most of the veterans affirmed that they have not lived the civilian life before, which was why they were less likely to know what help was out there to support them financially (or emotionally), how (or where) to get help, and more importantly - WHO to contact to get the best, most accurate, reliable information they need for the smoothest transition into civilian living.
Since the social study results also provided proof of there being a huge need for veteran support, Security America Mortgage, Inc. has launched the newly developed sponsorship program that assists veterans with three different refinance options for veterans using VA loans to lower their monthly mortgage payments by hundreds (and even thousands) of dollars! To start off on the right foot, in the right direction toward financial freedom, the benefits of refinancing a current mortgage loan using the three different VA loan refinancing options are listed as follows:
VA Loan Refinance Option #1 - VA Streamline Refinance - Interest Rate Reduction Loan (IRRL):
VA streamline refinancing loan can be used when you already have a VA home loan financed with your current home. The only reason you would choose to refinance would be to achieve a lower interest rate using a "VA Interest Rate Reduction Loan (IRRL)". The VA IRRL enables lower interest rates on a current VA home loan and it can be achieved with no out-of-pocket closing costs to the homeowner - which is great!
The Benefits of a VA Streamline Refinance "Interest Rate Reduction Loan" (IRRL)
- No appraisal required.
- No income or credit check to qualify.
- No monthly mortgage insurance.
- Only .5% funding fee on all interest reductions.
- No out-of-pocket costs.
VA Loan Refinance Option #2 - Cash-Out or Debt Consolidation Refinance:
If there is equity in the current VA loan financed with the home needing to be refinanced, the VA benefits give eligible veterans the option to refinance the VA home loan currently financed on the home - and then to receive a cash out payment that is up to 90% of the home’s equity value. The money left over from the home's appraised and calculated value can then be used for anything like; 1. paying off credit card debts, 2. remodeling home improvements, or 3. for paying any other expenses.
The Benefits of a Cash-Out VA Loan Refinance:
- You can take cash out up to 90% of your home
- Monthly mortgage insurance is not required
- No out-of-pocket closing costs
VA Loan Refinance Option #3 - Conventional to VA Refinance Loan:
The Conventional to VA Refinance option requires a funding fee, which the government charges to insure a VA Home Loan with the lender. The fee is 2.2% for veterans who are first-time users for this type of loan. The good thing about the Funding Fee is that it can be financed into the cost of the loan.
The Benefits of a Conventional to VA Refinance Loan:
- No monthly mortgage insurance
- The new interest rate may be lower - AND if the veteran has less than perfect credit, they may be able to get the same low interest rates available to those with great credit.
- The "cash-out" option can be taken, adding up to 90% with a VA refinance
- No out-of-pocket closing costs
Without a doubt, the Security America Mortgage VA Home Loan Experts know the real value of financial security and freedom. For veterans and active-duty military service members who are looking to save a significant amount of money on their mortgage loan by lowering the monthly payments, using a VA refinance loan is the first step to take to accomplish those financial freedom needs. Reducing the rate is one of the many VA loan advantages that optimize VA loan benefits.
To Find Out Which VA Loan Refinance Option BEST Fits Your Home Mortgage Refinancing Needs, Contact a VA Loan Specialist With Security America Mortgage Now.