VA Funding Fee Denver Colorado
VA Home Loans require that the borrower pay a VA Funding Fee. What is a funding fee?
Simply put, the VA Funding Fee is a fee charged at closing to the borrower that helps insure the VA Mortgage. The funding fee goes into a pool of funds that backs all VA insured mortgages. This pool of funds helps compensate lenders who hold VA Home Loans that are foreclosed on.
One of the great benefits to VA Mortgages is that there is no monthly mortgage insurance, even with 0% down payment, and $0 down payment is still allowed on VA Home Loans. This means that the payment is extremely attractive. However, VA could not do this without some way to provide funding to insure the loans they back, hence the VA Funding Fee.
The VA Funding Fee can be financed into the new mortgage, so this is not money that the borrower has to bring to closing, unless they choose to do so.
VA Funding Fee amounts depend on the type of transaction that is taking place and the amount of down payment or equity, as well as if this is the borrower's first use of the VA Home Loan benefits. I have posted a VA funding Fee summary below.
One more important thing to note about the VA Funding Fee is that disabled veterans are exempt from the fee. That's right, $0 funding fee because of your sacrifice to our country.
VA Home Loan Rates are still at all time lows, so it's a great time to buy a home or refinance whether you are a first time home buyer or an experienced home owner. The VA IRRRL Streamline Refinance can help you lower your rate and payment without an appraisal! With home values down so low, and the home buyer tax credit available this spring, now is a perfect time to explore your options.
We can help you determine your VA Home Loan Eligibility instantly as well as help you determine how much your VA Funding Fee will be. We have been working with VA borrowers for many years! Call us direct at 303-670-0137.
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RJ Baxter First Mortgage Corp
Branch Manager
303-670-0137 (direct)
27902 Meadow Drive, Suite 120
Evergreen, Colorado 80439
