ThisVA mortgage calculator can be used for calculating monthly payments and other related values to VA mortgages. It takes into account the eligibility criteria for the VA mortgages as well.
VA mortgages are the loans that are granted to service members in active duty, veterans, members of the national guards, surviving spouses, or reservists. The Veterans Affairs department guarantees these loans.
There are many benefits of VA mortgages and some of them are as under:
. There are a few mortgage experts who have claimed it quite boldly that for those who are eligible, VA loans could be the best available option.
. What defines VA loans is the fact that you don't need to make any down payment if you choose to stay within a specific loan amount. This loan amount limit to exempt down payments is 417000 in most countries. The loan limits can be higher in high-cost countries. When the houses are priced above these loan limits, you have to make 25% down payment against the loan amount that exceeds the limit. Only a few mortgages exist today for which no down payment is needed.
. These mortgages don't involve any mortgage insurance and, hence, the borrowers are relieved of any big expenses.
. Buyers and sellers get the opportunity of negotiating over fees payment. Closing fees can be paid, either in part or in full, by the sellers up to around 4% of loan amount. But there is no obligation on them for doing so.
. You can use VA loans for refinances or purchases, and the qualified applicants must not be the first-time buyers. They can also reuse the benefit.
. As VA does property appraisals, homebuyers are at mind's peace as they won't probably have to overpay for particular homes.
. Usually the interest rates as well as closing costs tend to be lower as compared to other mortgages.
This fee, basically, goes towards your program's upkeep and is usually used in case if the borrower goes on default. This fee is equal to a certain percentage from loan amount.
Talking about the percentage, the fee can be anywhere between 0% - 3.3% and it depends on the amount of down payment, the military experience of the veteran, loan purpose and the kind of home for which loan is acquired.
The fee gets waived off for applicants having at least 10% service-related disability or surviving spouses. The funding fee is, probably, the only fee related to the VA loans that can be financed into loan amount, In fact, this is what most of the buyers usually do. All the rest of the fees is paid at closing in cash, after negotiations for determining whether buyer/seller is responsible to bear those.
The VA Mortgage calculator here requires you to provide quite a lot of information as input. You have to enter the price of the home that you want to buy. Then there is down payment which can be specified as a fixed amount or as a percentage. Then you have to enter your loan term and the rate of interest that will be applied. Besides, there are VA loan limit and used entitlement values to be entered. In the end you have to select what type of VA eligibility you have, whether you have used the VA loan prior to this or not, is there any service-related disability that exceeds 10%, and whether the Funding fee will be financed into your loan or you'll be paying it upfront.
Once you have entered all these values, just hit the calculate button and the VA mortgage calculator will give you the results for monthly payment, funding fee, down payment amount, loan amount, total of your mortgage payments over the term of your loan, total interest and the payoff date. Besides, a tabular representation of your mortgage is also shown for the term of your loan.
So, use this VA mortgage calculator and calculate all the important values related to your VA mortgage. You can rely on the VA mortgage calculator for these calculations as it gives you the most accurate results possible.