Your Pot of Gold

The rapid mortgage interest rate increase this year has shocked the real estate market. In 2020 VA Loans were below 3%. Today we’re seeing rates over twice that. Many home buyers or refinancers have not experienced this level of VA loan rates, but there is a silver lining in the rate cloud and it shows the strength of the Veterans benefit. This could be your pot of gold.

We know of a homeowner who took advantage of this Veterans’ benefit in 2020 using his loan to finance 100% of his purchase price. His VA Loan rate is just under 3%. But now, he’s had some life-changes and is preparing his home for sale. Fortunately his real estate agent contacted us and ask about the assumability of his current mortgage loan. Our Veteran is thankful he had sought out an agent who had familiarity with VA Loans. 

“Yes”, we said, “another qualified buyer, veteran or not, chooses to buy this homie  she can assume the mortgage at it’s current rate”. Our home owning  veteran has made about 18 payments on that loan. His principal loan amount has decreased only slightly. Our new homebuyer can purchase this home and assume the current, very low interest rate. 

In this somewhat slow real estate market here comes a home for sale that has an assumable mortgage rate less than half of today’s market rates. Here comes a very appealing opportunity for another buyer. This feature is but one of the benefits VALoansMN can offer. However, as they say on TV “wait, there’s more!”.

Staying with our home-selling Veteran he must now find a house in a new location and he will face today’s VA loan rates which are considerably  higher than the loan he once had. But, no worries, he’ll obtain another VA loan to purchase his new home and, if rates return to lower levels, he can take advantage of the streamlined refinance offered at VALoansMN. Using this feature here’s no need for an appraisal nor is there any income verification. As Brad at VALoansMN puts it “you marry the house but you’re only dating the mortgage”. 

Don't overlook your pot of gold. Call us today and we'll show you how easy it can be.