Private lenders: how much can they help with a VA-backed loan?
VA-backed loans offer qualified borrowers excellent options when working with a private lender. However – exactly how much can your private lender help you in this process?
The short answer is, honestly: it really depends on the lender themselves.
While not all lenders have this ability, many lenders can contact the VA on your behalf and verify your eligibility under the VA Home Loan Guaranty program. This has the benefit of being easy and requiring little effort on the part of the borrower, but it also means that the borrower is getting verification via the lender – not the VA directly. Thus, if the lender or the loan terms they quote aren’t a match you will likely find yourself having to request documentation from the VA all over again if you start over with a new lender.
VA-backed loans come in many forms as well. This means that an informed and experienced lender should be able to guide you through different options to find a home loan package that is a perfect fit for your needs. Whether you’re looking to refinance an existing home loan in order to cash-out for refurnishing/remodeling the property or looking to simply purchase your first property, a skilled lender should be able to find specific options that match your needs.
Good, solid advice is to work with several lenders initially to both get varying initial figures and quotes, and (perhaps more importantly) to gauge how knowledgeable and helpful different lenders are. While the loan terms are normally the top motivating factor when making the final decision – a passionate, dedicated advocate (in the form of a lender dedicated to customer service) can make all the difference in the world.