Why choose a VA loan for your Orange County Home Purchase?


Purchasing a home in Orange County is a challenge for most people, but the VA mortgage program provides a great benefit to Veterans here in Orange County and across the country. The Department of Veterans Affairs acts as an insurer for approved lenders that minimizes the risk of the loan. The VA guarantee also results in lower interest rates compared to other types of financing. It also allows for no required down payment. The VA program has made financing a home significantly easier to obtain for Veterans who may not have been able to get a loan otherwise.

No Down Payment Required

One of the most significant benefits of the VA loan is that there is no down payment required. The Veterans Administration has established 100% financing loan limits based on the county you live in. Not requiring a down payment allows Veterans to save thousands of dollars and still obtain a loan. The 2018 VA Loan Limit for 100% financing in Orange County is $679,650.

No PMI – No Mortgage Insurance

Another major money saving benefit of the VA program is that there is no Private Mortgage Insurance (PMI) required with the loan. When there is a down payment of less than 20% on a loan, most Conventional programs will require PMI. The purpose of this requirement is to protect lenders against the risk of default. The VA mortgage program doesn’t require this because the VA already protects lenders against the risk of default. Not requiring monthly PMI can save Veterans hundreds of dollars per month.

Low VA Interest Rates Compared to other Loan Programsrefinance to va loan

Interest rates are of course a very important factor when it comes to financing a home. Due to the VA guaranteeing VA loans, lenders are able to offer veterans lower rates compared to other conventional loan programs. A lower interest rate can save veterans thousands of dollars annually and over the life of the loan.

Combined with all of these money saving perks, the VA program also doesn’t have a penalty for pre-paying on the principal of your loan. When it comes to buying a home, in most cases the VA mortgage program is by far the best option for Veterans looking to secure financing. The best way to find out how the VA loan program compares to other programs is to call a local Orange County Loan Officer who specialized in VA financing. The Orange County VA Loan officer will be able to prepare a Side by Side Total Cost Analysis of your loan program options, including a complete breakdown of the numbers involved in a home purchase.


Authored by Tim Storm, an Orange County VA Loan Officer specializing in VA Loan. MLO 223456. – Please contact my office at the Home Point Financial. My direct line is 949-640-3102. www.OrangeCountyVALoans.com. I will prepare custom VA loan scenarios which will be matched up to your financial goals, both long and short term. I also prepare a Video Explanation of the your scenarios so that you are able to fully understand the numbers BEFORE you have started the loan process.