A VA loan is typically available for qualified service members, veterans, and their spouses so that they can enjoy a financing option that costs lower than usual. This loan also makes it easier for those eligible to purchase a home or refinance their existing mortgage.
The requirements for this loan are the same across the country, but mortgage lenders still have the liberty to set the rates they want, so it still matters where you go for your loan. Although most lenders offer VA loans, there are those that specialize in this particular type of loan.
What to Consider When Looking for a VA Mortgage Lender
It may be challenging to find the best lender from a seemingly endless sea of banks and online lenders, not to mention the credit unions. The key is knowing what to look for. Here are three factors to consider:
1. Years of Experience
When it comes to VA lenders, you need one with enough experience. For one, there is a lot to understand when it comes to the requirements for securing a loan, and the lender must be able to guide you so that you can land the best possible mortgage for your specific situation.
A seasoned lender has already worked with different types of borrowers and encountered many scenarios that they are more likely to provide you with solutions based on something that they have actually faced before. It doesn’t necessarily have to be those companies that have been around for 50 years or so. Instead, focus more on the specific person who’s going to handle your loan. Remember that even 50-year-old lending companies may employ people with zero experience.
2. Recommendations from Previous Clients
It wouldn’t hurt to ask around about the VA lenders you are considering. You can ask your colleagues and your friends if they or anyone they know have taken a VA loan in the past. If possible, speak to them so that they can share their experiences and whether or not they recommend a specific lender.
You can even take it to social media. If you don’t have any VA lenders in mind yet, do some crowdsourcing. You might be surprised by how many are willing to help you out by giving their honest opinions on their previous lenders. If anything catches your interest, you can ask for more information about that lender – how the process went, how knowledgeable the lender is, and if possible, the lender fees the borrower had to pay.
On top of that, you can also check which lender got the most recommendations because that says a lot about their service quality!
3. Competitive Rates
As mentioned, the mortgage rates vary from lender to lender, so you must do your homework before you go for one. But do not just calculate the interest rate. Make sure that you also look at the annual percentage rate (APR), the total cost of the loan that also covers all the lender fees. That makes for a better foundation for your comparison than simply looking at the mortgage rate!
The benefits of a VA loan are hard to ignore, and they can get you excited to get a mortgage as soon as possible. Yet, this doesn’t mean you should be hasty and sign with the first lender you find. Take your time in choosing your lender – they must be experienced, highly recommended by past and present clients, and of course, offer the best VA loan rates!
If you are looking for a reputable mortgage company in Louisiana, Performance Mortgage LLC is here for you. We have a team of experienced mortgage professionals who can provide you with your VA loan tailored to your specific needs. Contact us today for more details about our services!