VA Cash Out Refinance Home Loans
VA’s Cash-Out Refinance is for borrowers who own a home and want to take cash out of the equity they have accumulated in the home. Therefor the amount of cash taken out cannot exceed the value of the home. This cash can be used to pay off debts, fund education, make home improvements, or use how you wish. A VA Cash-Out can also be used to refinance a non-VA loan into a VA loan.
The Home Loan Guaranty
One benefit VA offers borrowers is they guaranty up to 100% of the value of the home. A VA guaranty is insurance VA provides to the borrower in case something goes wrong, and they default. This means in a circumstance where a borrower can’t make payments the lender will go to VA, not the borrower, to cover any losses that may incur.
Advantages of a VA Home Loan
- No down payment
- No private mortgage insurance required
- Cap on closing costs
- Closing costs can be paid by seller
- No prepayment penalty. (Borrower can’t be punished for paying loan off early)
Certificate of Eligibility
A Certificate of Eligibility (COE) shows the lender that you are eligible for a VA backed home loan. To see if you qualify for a COE follow this link Find Out If You Qualify and to apply follow this link Apply Now.
Questions? Contact The Kewin Team Today!