No monthly mortgage insurance
VA loans don't require private mortgage insurance or an FHA-style premium. That alone can make VA the better deal for a lot of people.
VA loans in Fort Worth: you earned it, let's use it.
If you served, the VA home loan is usually the first thing I look at. No monthly mortgage insurance, flexible qualifying, and it can be used more than once. Here's how it works, what it takes, and what to send me. Thank you for your service. I'm in Fort Worth, and most of my clients are around DFW.
Apply Now (opens in new tab)Tell me the deal
I always start with a soft pull, so no hard credit ding.
What a VA loan is
VA doesn't lend you the money. A lender like me does, and VA guarantees part of the loan. That guarantee is why VA loans come with the benefits they do. You still have to meet VA's standards and the lender's for credit and income, and you have to live in the home.
VA loans can be used to buy a home, build one, or improve one, and existing VA loans can be refinanced with an IRRRL, covered below.
Who's eligible, and the COE
Veterans, service members, and some surviving spouses can qualify. It depends on your service, and VA spells out the requirements on its eligibility page. The proof is your Certificate of Eligibility, or COE.
You don't have to chase it down yourself. Send me your DD-214, or a statement of service if you're still active duty, and I can request your COE. VA also explains how to request a COE on your own.
Why the VA loan is a big deal
No hard DTI cap
VA doesn't have a hard debt-to-income cap. Residual income, what's left over each month after the big bills, matters a lot. Subject to qualification.
The funding fee, and who skips it
Most VA loans have a one-time VA funding fee. If you receive VA compensation for a service-connected disability, VA says you don't pay it, along with a few other exemptions. Your COE shows whether you're exempt.
Loan limits and entitlement
With full entitlement, VA says you don't have a loan limit, as long as you can afford it and the appraisal supports the price. Used your benefit before? Your county limit comes into play. VA explains it on its entitlement and loan limits page.
You can use it again
VA entitlement isn't one and done. Sold the last house, or still own it? Either way, send me your COE and I'll tell you what you have left.
After a credit event
VA can be more forgiving after a bankruptcy or foreclosure than people expect. See how long the VA wait typically is.
The home has to be yours to live in
VA purchase loans are for a home you'll live in, not a rental. The appraisal also checks that the house meets VA's minimum property requirements, so older homes can need a repair or two before closing. Tell me about the house early and we'll plan for it.
Building with a VA loan
VA allows one-time and two-time construction loans for a home you'll own and live in. I do both.
VA one-time close
The construction financing and your permanent VA loan close at the same time, before the build starts. When construction is done, the loan moves to its permanent terms. One closing. More on how one-time close works.
Two-time close, VA on the back end
A regular construction loan, not VA, pays for the build. When the house is done, a VA loan refinances that construction loan and becomes your permanent mortgage. Two closings. More on how two-time close works.
Pick the structure up front: VA says once one type closes, it can't be switched to the other. Your builder still has to meet state and local licensing rules, and the house still has to meet VA's property requirements. Call me before you sign with a builder.
Refinancing a VA loan: the IRRRL
IRRRL (streamline)
The interest rate reduction refinance loan is for refinancing an existing VA loan into a new VA loan. You have to certify you live in the home now or used to. It's the simplest VA refinance when it makes sense.
Want cash out instead?
I don't do VA cash-out refinances. If you want cash out of your Texas homestead, a conventional Texas cash-out refinance is the route I'd look at, and it follows the state's 50(a)(6) rules. See the Texas cash-out refinance guide.
A refinance has to be worth what it costs. If it doesn't pencil out, I'll say so.
What to send me
- Your DD-214, or a statement of service if you're active duty, or your COE if you already have it
- Your VA disability award letter, if you have one
- Pay stubs and W-2s, or your LES if you're active duty
- Tax returns if you're self-employed or own rentals
- Recent bank statements
- Your current VA loan statement, if you're refinancing
Ready when you are.
Send the short form, call, or email. I'll get your COE, look at the numbers, and tell you straight whether VA is the right loan. Sometimes it isn't, and I'll show you FHA or conventional next to it.
I lend in Texas, Oklahoma, California, Colorado, Montana, Florida and Georgia, and I can help in all the other states too.
I always start with a soft pull, so no hard credit ding.
VA loan questions
Who can get a VA loan?
Veterans, service members, and some surviving spouses who qualify for a VA Certificate of Eligibility, and who also meet the credit and income standards. VA's eligibility page has the service requirements. Send me your DD-214, or a statement of service if you're still active duty, and I'll request your COE.
Do VA loans have mortgage insurance?
No. VA loans don't require private mortgage insurance or a mortgage insurance premium. Most VA loans have a one-time VA funding fee instead.
Who doesn't have to pay the VA funding fee?
Per VA, you're exempt if you receive VA compensation for a service-connected disability, or you're eligible for it but get retirement or active-duty pay instead, among a few other cases like surviving spouses receiving Dependency and Indemnity Compensation. Your COE shows it.
Is there a VA loan limit?
If you have full entitlement, VA says you don't have a loan limit, as long as you can afford the loan and the appraisal supports the price. Your lender still has to approve the loan amount. If you've used entitlement before, your county's limit comes into play.
Is there a maximum debt-to-income ratio on a VA loan?
VA doesn't have a hard DTI cap. Residual income, what's left each month after the big bills, matters a lot. Subject to qualification.
Can I build a house with a VA loan?
Yes. I do it two ways. A VA one-time close loan closes the construction financing and your permanent VA loan together, before the build starts. Or a two-time close: a regular construction loan pays for the build, then a VA loan refinances it as your permanent mortgage when the house is done. Either way, the home has to be yours to live in.
Can I use a VA loan more than once?
Yes, VA entitlement can be used again. How much depends on whether your earlier VA loan is paid off or still out there. I'll look at your COE and tell you.
Apply Now (opens in new tab)Tell me the deal
I always start with a soft pull, so no hard credit ding.
General information, not a commitment to lend. VA program rules come from VA.gov home loans. Subject to qualification and program guidelines. Not all applicants will qualify. Not affiliated with or endorsed by the Department of Veterans Affairs.
More answers on the FAQ page, or see Fort Worth home loans. Or head back home.