Not only has it been a busy year here at Creekside Mortgage, Inc., it has been a busy year for the Department of Veterans Affairs, who is responsible for guaranteeing VA home loan benefits.
In fact, as of October 26, 2012, the VA has officially guaranteed more than 20 million home loans since the program began in 1944 and the number of loans guaranteed every year is rising.
According to an article by the New York Times, during the fiscal year of 2012 alone (which ended Sept. 30), the number of loans that were guaranteed by the VA increased by 50 percent – meaning they guaranteed nearly 540,000 loans.
While there are many characteristics that make a VA home loan an attractive option to borrowers, things like the option to buy a home with no down payment (on loans up to $417,000), low interest rates and not having to carry mortgage insurance are at the top of the list.
Another likely reason that the surge of VA home loans has been so drastic during the most previous fiscal year may be due to the all-time low interest rates and the ability of VA home owners to refinance their existing VA home.
One type of refinance, which is called an IRRRL or Interest Rate Reduction Refinance Loan, can lower a customer’s monthly payments. Borrowers can also refinance their VA home loan, using a cash-out refinance and get up to 90 percent of what their home is worth.
Together, all of these VA loan qualities have made more and more Veterans decide to buy a home using their home loan benefits, and we are seeing the flux right here at Creekside Mortgage, Inc.
October was our busiest month in company history, with 74 loans closed, and all but two of those loans VA backed. Now, in the middle of November, we are still as busy as ever and we are looking to come close to our October record.
Even with record numbers of transactions coming through our company, we still maintain a 22 day closing for a VA purchase, and we are committed to providing our customers with the skills and dedication to ensure their purchase or refinance transaction goes as smoothing as possible.
If you would like to know more about VA loans or would like to speak with a VA loan specialist, please call Creekside Mortgage, Inc. at 360.571.LOAN (5626) or call 800.920.5420.