Veterans and military service members may take advantage of significant savings on the costs of purchasing a home due to a US program to reward the men and women who served our country bravely. These benefits include lower payments due to competitive interest rates and no private mortgage insurance, No Down Payment*, and relaxing of many qualification standards which make it ideal for first time homebuyers.
Basic Allowance for Housing (BAH) is a significant benefit for qualified active military members. Lenders can count your Basic Allowance for Housing as effective income, which means you can use BAH to pay some or all of your monthly mortgage costs.
BAH varies based on your pay grade, your geographic location and your number of dependents. Learn more about Basic Allowance for Housing.
Paying off a home loan before it matures often results in a pre-payment penalty with many different types of loans. The pre-payment penalty is a way for financial institutions to recoup some of that money because the lender will miss out on additional opportunities to collect interest payments.
The VA Loan allows borrowers to pay off their home loan at any point without leveling a pre-payment penalty. With the absence of a pre-payment penalty, borrowers are free to consider future home purchases and refinancing options.
Some products and services may not be available in all states. Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice.
