The guarantee VA provides to lenders allows them to provide you with more favorable terms, including:

• No down payment as long as the sales price doesn’t exceed the appraised value up to the local VA County lending limit.
• No private mortgage insurance premium requirement.
• VA rules limit the amount you can be charged for closing costs.
• Closing costs may be paid by the seller.
• The lender can’t charge you a penalty fee if you pay the loan off early.
• VA may be able to provide you some assistance if you run into difficulty making payments.

You should also know that:

• You don’t have to be a first-time homebuyer.
• You can reuse the benefit.
• VA-backed loans are assumable, as long as the person assuming the loan qualifies.