Buying a home comes with a lot of difficult processes. From figuring out your budget to finding the right house to securing a loan. Fortunately for those who qualify, you can apply for VA loans in Arizona. VA loans are a mortgage option for active-duty military and veterans who can buy a primary residence with a $0 down payment. At Atlas Crown Mortgage, we know it can be difficult to find the right loan for you and your budget so we have some tips that can help.
As with most things, it’s important to shop around to find the best fit for you. Keep in mind that you don’t have to get a loan through the first lender you speak with. It’s recommended that you interview several lenders to learn more about their terms, fees, and interest rates. You can also go with a broker who will do any necessary negotiating for you. However, you’ll want to vet them as well to make sure they’re a good fit.
Ask your neighbors
If you have neighbors who bought a home with a VA loan, you can speak with them to find out who they got their loan through or which broker they worked with. A recommendation from someone you trust is much stronger than an online review from someone you’ve never met before. Ask them what they did or didn’t like about working with the specific individual or organization. This should help to narrow down your search.
Look at APR
While most loans will come with a similar APR, not all are the same. Ask about APR for different terms of your loan and ask if you can get a better rate by putting money down. While you can secure a VA loan by putting nothing down, you might still be able to get a better rate by putting down somewhat of a down payment to lower the amount of loan you’re looking to get.
Know your credit score and budget
Before you ever speak with a lender or broker you should know your credit score and have an idea of a budget. It’s not common, but you could speak with a lender who tries to tell you that you don’t qualify for a certain interest rate because your credit score is too low. Pull your credit before you start looking into a mortgage so you can be armed with information as you interview lenders. You can also use online calculators to figure out your budget so a broker or realtor doesn’t try to up-sell you to something beyond what you can afford.
Get online and look up what are normal fees for lenders and brokers to charge. There are always going to be closing costs that come with buying a house so you should find out what the normal percentage for someone to charge you would be. This could save you thousands of dollars on your home in the end if you find a broker or lender who charges significantly less in fees than others in the area.
Speak directly with lenders
You can get a good idea of what you’re getting into by speaking directly with lenders about everything we’ve mentioned. This will help give some perspective regarding the process of securing your VA loan and how likely you are to get a good interest rate. However, it’s important to keep in mind that someone who works for a lender does just that. In contrast, a broker works for you and will negotiate with a lender on your behalf.
Contact us to get started
If you’re looking to secure a VA loan in Arizona, reach out to Atlas Crown Mortgage today to get started. Our team can help you set up a budget and apply for your home loan. Give us a call or send a message to set up an appointment.