They can therefore offer a more favorable interest rates and require less of a down payments for buyers who qualify. Colorado Lenders has several banks that provides these types loans and we can connect borrowers with a lender that is most favorable in both rate and price.
The Department of Veterans Affairs provides VA loans to military personnel and their families as a way of saying “thank you” for their service. You can qualify for these loans in one of three ways: 1) You are an active or veteran member of the US military who served for at least 181 days, or a minimum of three months during war time. 2) You can be an active or veteran member of the reserve forces or National Guard for a minimum of six years. ) You are the spouse of a member of the US military who was killed in the line of duty.
People who qualify for VA loans can rarely find a better deal anywhere else. VA loans provide no money down financing, more relaxed underwriting standards, no prepayment penalties, an very favorable interest rates with no monthly mortgage insurance. You also have the option of taking multiple VA loans to buy multiple properties, including both homes and commercial properties.
Nearly a third of all home loans in the United States are insured by the Federal Housing Administration. FHA loans are a great way for many people to obtain good, accessible mortgage rates with less than perfect credit and DTI (Debt-to-income ratio).
Loans insured by the FHA enjoy many benefits, including no prepayment penalties and greater leniency for failed payments. Many of these loans allow you to buy a home with a downpayment as low as 3.5%. The lower downpayment is the primary reason they are so popular with first-time buyers and households with limited income.
Contact a Colorado Mortgage expert to receive current rates for FHA loans.