VA Streamlined Mortgage Refinance
The unfortunate fact is that not everyone is eligible for VA streamlined Mortgage Refinance. If, however, you prove
to qualify then you stand to enjoy various advantages.
5 Benefits of Getting VA Streamlined Mortgage Refinance
VA streamlined mortgage refinancing
is different from other types of loans because of the unique benefits it offers, some of which are listed below.
No Appraisal Requirements
Property
assessment has always been part and parcel of the loan application process but VA streamlined mortgage refinancing is a definite exception. As long as you prove to
meet the requirements for the loan, an appraisal of your property is no longer necessary. Automated valuation or a drive-by assessment would more than do.
No Credit Check
VA doesn't care about your current credit rating. This may be bad news for those who have worked hard to maintain a stellar credit
score but it's sure to be good news for those with poor credit scores.
The absence of a credit check, however, doesn't mean you don't have to meet any
other credit-related requirements. To become eligible for VA streamlined refinancing, you need to have an existing loan than you're currently paying for. If you don't
have a loan then what you need is financing and not refinancing. Secondly, you must prove that you've been able to pay on time for the last twelve months or at the
very least, you haven't submitted your payment later than 30 days following your supposed deadline more than once.
No Income Documentation
Requirement
VA doesn't care about where you're getting your income from either. Unlike with other creditors, you won't need to email or fax proof of your
income. It doesn't matter if you're receiving cash income. It doesn't matter if you're self-employed. It doesn't matter if you're completely reliant on the financial support
provided by your loved ones.
No Job Verification
In connection to that, one thing you shouldn't have to prove is the existence of your job. In fact,
there's no need to lie. If you're currently unemployed then so be it. The VA won't care. They use a filtering process for loan applicants different from other
creditors.
No Immediate Payment Required
Depending on your financial situation, current circumstances, and eligibility, the VA might be generous
enough to give you up to a 2-month grace period before you're required to make your first monthly payment for your loan. This might not seem much at first glance,
but just imagine how much easier budgeting can be if you won't have to worry about settling your monthly dues for two months!
Get Refunds
This is
not, however, applicable for any situation. In particular, the VA may be able to refund your money if you have an existing escrow account.
Easy Loan
Closing Process
You won't have to worry about closing costs and delays when it comes to VA streamlined refinancing. Firstly, you can leave it to your future
mortgage provider - the VA in other words - to take over the closing process. Secondly, if there are any closing fees you have to pay, the VA shall take care of that
and they'll simply add the total to your refinance loan balance. You won't have to pay for them immediately either; they'll be part of your monthly payment
instead.
One thing you should be aware of, however, is that VA streamlined Mortgage Refinance does not offer cash out options. If you want that, you're
better off with a VA cash-out refinance loan!
