Florida Military Realty
Frequently Asked Questions
What is a VA loan?
A VA loan is a type of mortgage loan that is backed by the U.S. Department of Veterans Affairs (VA) and is available to eligible military service members, veterans, and their surviving spouses.
Who is eligible for a VA loan?
Eligible borrowers include active-duty military members, veterans, National Guard members, and surviving spouses of military members who died in the line of duty or as a result of a service-connected disability.
What are the benefits of a VA loan?
Some of the benefits of a VA loan include no down payment, no private mortgage insurance (PMI) requirement, competitive interest rates, and flexible credit and income requirements.
What is the maximum VA loan amount?
The maximum VA loan amount varies depending on the location of the property, but typically ranges from $484,350 to $1,000,000. In MIami Dade County the loan limit is $726,000. If the purchase is more than the county limit, you will be required to pay 25% of the difference.
For example, if the purchase price is $826,000 in Miami Dade County, the VA will require you to put a downpayment of $826,000-$726,000= $100,000 x 25%= $25,000 down payment.
What is a VA funding fee?
A VA funding fee is a one-time fee charged by the VA to help offset the cost of the VA loan program. The fee can be rolled into the loan amount or paid in cash at closing. The fee is usually 1% of the total borrowed amount
What are the income requirements for a VA loan?
There are no set income requirements for a VA loan, but the borrower must have a stable and sufficient income to repay the loan.
What is a VA certificate of eligibility (COE)?
A VA COE is a document that confirms the borrower's eligibility for a VA loan. The COE must be obtained before applying for a VA loan.
Can a VA loan be used for a home purchase or only for refinancing?
A VA loan can be used for both home purchases and refinancing.
Can a VA loan be used for a second home or investment property?
A VA loan can be used to purchase a second home or investment property, but there are certain restrictions and requirements that must be met.