And I’m sure you’re hoping to find a great rate this will mean finding a loan originator who can help. Most loan originators are quite knowledgeable and will be able to explain how VA and FHA mortgage rates are different.
You will need to find out which program best fit your needs and that you will be
VA Mortgage Loan Program-
*You will need to meet the eligibility requirement
*They offer zero down mortgage loans if you meet certain requirements.
*VA mortgage programs don’t charge private mortgage insurance.
*And once you have a VA loan if you ever needed to refinance VA has a streamlined refinance program which is simple and efficient.
*Closing costs and fees can be rolled into the loan.
*First time VA Fee much more expensive than FHA’s, although financed
FHA Mortgage Loan Program-
*They will charge private mortgage insurance
*You can put as little as 3.5% down.
*Closing costs are rolled into the loan.
*Seller concessions up to 6%
Both loans are government loans which mean they do not have a prepayment penalty and both are assumable loans as well.
The overview of these two programs should give you enough information to understand which program will best meet your needs. The interest rates on these types of loans are quite comparable and in general VA Loans are better for individuals with less down payment money.
For more information – please see our Video on this topic at