We often get asked why VA loan interest rates are so much lower than conventional interest rates.
The bottom line is that VA loans are insured up to 25%. This means that banks have the assurance that at least 25% of the loan will be repaid?allowing them to lower their interest rates. This sense of security allows for less restrictive lending requirements.
While VA loans have remained fairly simple, conventional loans appear to be getting more and more complicated. When the mortgage industry went through the recent downturn in the economy, conventional loans saw more and more restrictions while VA loans stayed mainly the same.
Now really is one of the best times to do a VA Streamline. Creekside Mortgage, Inc highly recommends looking into taking advantage of the low VA loan interest rates.
Creekside Mortgage, Inc is the Northwest’s #1 home loan expert, and can help you with your VA loan today. Call us at 800.920.5420.