Pros and Cons of Getting a VA Loan

A line of soldiers in formal attire with the leading soldier saluting

VA loan lenders can provide great options for veterans looking to reduce their payments.


Here are the pros and cons of getting a VA loan from a VA loan lender.


Pros of a VA Loan


There are many advantages to getting a VA loan from a VA loan lender. Mortgage refinance company in Orange County, Sovereign Lending Group can help you with getting one.  One of the best things about the VA loan is that there is no down payment to boggle you down.  Of course, you have to be qualified for this but if you are, it is a great option to take advantage of.


Another pro of the VA loan is that there is no private mortgage insurance.  Private mortgage insurance is usually reserved for those who a conventional buyer does not put a 20% down payment on the house.  VA loans do not have PMI.


One of the great things about the VA loan is that there is no prepayment penalty.  If you decide that you want to pay off the loan early, you are not at risk of getting hit with any sort of prepayment penalty.  


Another great thing is that there are many refinance options for the VA loan.  You have many options available to you based on your situation.  Having options like this is a great tool to use because of the flexibility and personalization.  There is also a level of flexibility when it comes to if there is a bankruptcy or foreclosure.  


Cons of VA Loans


First of all, VA loans are only eligible for those who are eligible service members.  You will have to check your eligibility with the VA to see if you qualify for this type of loan.  The spouses of veterans who have died while serving this country or because of a service-related disability may also be able to qualify for a VA loan.  VA loan lender, Sovereign Lending Group, can explain this in more detail.  


Another thing that you’ll need to consider when getting a VA loan is the VA Funding Fee.  The VA charges this fee to make sure that the VA loan program is sustainable for many years to come.  This fee is specific to the VA loan and you will not be able to find it in other types of loans.  


About Sovereign Lending Group

Sovereign Lending Group is a VA loan lender in Southern California that is licensed in 45 states.  Here at SLG, we pride ourselves on our excellent customer experience and dedication to providing the best home financing solutions.  To learn more about Sovereign Lending Group, visit the website, and follow us on Instagram and Facebook.