Veterans Administration (VA)

While it’s not necessary to have your COE BEFORE you start your loan process, you cannot obtain a VA loan without one!

It’s best to apply for your COE early in the loan process to confirm your eligibility and provide your lender with your VA Loan Entitlement. Another reason to apply for the COE early on is to avoid delays in your closing date as it may take up to 30 days for the VA to provide your COE. Once you receive it, the certificate never expires. You should note though, if you received your COE while on Active Duty, you would need to obtain a new one once you are a Veteran.

No. The COE shows you are ELIGBLE for a VA loan, but you still must meet other qualifying requirements. MiMutual Mortgage will review your entire loan profile – credit score, VA entitlement amount, residual income, loan amount, LTV and more – to determine credit worthiness.

YES! You can use your VA loan benefit many times throughout your lifetime, as long as you still meet the VA and lender requirements. Your home must be used a primary residence, however.

Yes! You can apply for a new VA loan to replace either your existing VA loan, or existing non-VA backed loan. In either scenario, you may be able to save money with a VA Refinance.

There are two options to consider:

• VA Cash Out: Tap your home’s equity for cash and get up to 90% financing. The cash can be used however you see fit! Many people choose to pay off high interest credit card debt and other liens, fund a major purchase or to have a nest egg if needed.
• VA Streamline: Refinance your current VA loan to lower your interest rate and mortgage payment with an Interest Rate Reduction Refinance Loan (IRRRL). A VA Streamline Refinance Loan offers a simplified application process, which makes it faster and easier to qualify. No appraisal is needed, no income verification requirement, less paperwork and lower closing costs!

While there is no PMI required on a VA loan, there is a funding fee. This is a one-time payment that helps to cover the cost of the loan. This fee can be paid up-front or built into the mortgage. The fee will be based on the type of VA loan, whether you a first time or repeat buyer, your down payment amount, and the total loan amount. The fee is calculated as a percentage of the total loan amount. First time home buyers who put less than 5% down will pay around 2.3% of the loan amount. If your down payment is 5% or more, the fee drops to 1.65% and at 10% down, it’s 1.4% of the total loan amount. Repeat buyers pay a slightly higher fee only if they have less than 5% down.