1st Advantage Mortgage is a licensed mortgage broker and lender in Charlotte, NC. As a VA lender, we help veterans and active service members compare VA pricing across wholesale lenders for their Charlotte scenario. As a mortgage lender and broker, we put your file in front of multiple wholesale lenders.
What Is a VA Home Loan?
Sometimes called a $0-down payment mortgage, a VA home loan is issued by private lenders. However, it is partially backed by the U.S. Department of Veterans Affairs, an assurance that supports the program’s benefits for eligible borrowers. VA home loans help people who have served or who are serving in the U.S. Armed Forces move into a home, affordably. It is designed to help active duty service members, U.S. veterans, as well as those whose spouses died in the line of duty.
The bill that created VA home loans was enacted in 1944, but it has changed significantly over the years. If you have enough military experience and you meet the VA home loan eligibility requirements, this can be an excellent option for buying a home.
Military Home Loan Requirements for VA Borrowers
We know what you’re thinking: “So, does everyone who serves in the U.S. Armed Forces qualify for these loans?” Not quite. Your length of service, as well as the years when you served, will impact your qualifications for a VA loan. For example, someone who served during wartime will qualify with a shorter amount of time served than someone who didn’t.
VA Home Loan Eligibility
To obtain VA home loans in North Carolina or South Carolina, you need to meet one of these requirements:
- You are an active duty service member or you have been honorably discharged.
- You have at least 90 days of consecutive service during a time of war period (as defined by the VA). or you have at least 181 days of service during a time of peace.
- You have at least six years of service in the National Guard or Selected Reserve.
- You are a spouse of someone who died in the line of duty in a recognized Armed Service.
VA Loan Process for Home Buyers
First, get pre-qualified by a VA loan lender. Only qualified private lenders (approved by the VA) can offer these loans. You will need to submit documentation requested by the lender. This often includes information about your employment and income, as well as documentation of assets you own.
Though VA home loans are designed for applicants with less-than-perfect credit, your FICO®* score will still impact your application. The VA sets no minimum credit score. We work with veterans with scores as low as 500 on a case-by-case basis, subject to lender guidelines.
Once you’re approved, the lender will give you a VA loan pre-approval⁷. This allows you to show sellers that you are a serious buyer who’s prepared to proceed.
Key Benefits of VA Home Loans
VA loans have program features that may matter to eligible borrowers, including no down payment in qualifying cases, no private mortgage insurance, and flexible approval guidelines. The loan terms and eligibility requirements still depend on the borrower, property, and lender.
- No down payment: Eligible borrowers may be able to purchase with no down payment, although closing costs and other fees may still apply.
- No private mortgage insurance: VA loans do not require monthly private mortgage insurance, though other program costs may apply.
- Flexible credit considerations: Credit requirements vary by lender and the complete borrower profile, so we compare available VA guidelines for your scenario.
- Rates and fees: VA pricing and lender fees vary by borrower profile and lender, so compare the available VA offers.
- Assumable loan feature: A future buyer may be able to assume a VA loan with approval, subject to the applicable requirements.
VA Loan Options: Purchase, Refinance, and Beyond
Eligible borrowers can compare VA purchase, cash-out refinance, and IRRRL options. The right path depends on the current loan, the property, entitlement, and the lender’s requirements.
- VA Purchase Loan: It may fit an eligible buyer purchasing a first or next home. Compare the available down-payment, insurance, rate, and fee terms.
- VA Cash-Out Refinance: This can turn home equity into cash for purposes such as renovations, education, or paying off higher-interest debt, subject to eligibility, equity, and lender requirements.
- VA IRRRL: Also known as the VA Streamline Refinance, this is for an existing VA loan and is subject to program and lender requirements. Compare the rate, payment, closing costs, and documentation before deciding.
Timeline
The total time to close a VA loan can range from 30 days to 90 days – about standard for the mortgage industry. Factors that affect this timeline include the closing date, appraisal, any “subject to” repairs, and the underwriting process.
Documents & Paperwork to Submit
To receive a VA loan in the Carolinas, you’ll need to submit a paper trail confirming your identity and financial information. More specifically, you’ll need to submit:
- Identification: To confirm your identity, you'll need to submit a copy of government-issued identification
- Proof of Income: You will need recent pay stubs, as well as two years of federal tax returns, W-2 forms,
- Asset & Debt Verification: Lenders will need to see proof of expenses to verify your debt-to-income ratio
- Certificate of Eligibility (COE): You will need a COE from the Department of Veterans Affairs that confirms your eligibilit
Additional documentation may be necessary for VA home loan lenders.
Get a VA Home Loan
After you put an offer on a home, then a VA appraisal and underwriting process will begin. Underwriters need to ensure that the property meets fair market value and that you will be able to make payments on the loan.
Comparing VA Loans with Other Loan Types
VA, FHA, and conventional loans differ in their down-payment options, mortgage-insurance treatment, credit guidelines, refinance routes, and eligibility. Compare the available terms for your borrower profile rather than assuming one program is automatically the best fit.
| Feature | VA Loan | FHA Loan | Conventional Loan |
|---|---|---|---|
| Down payment | 0% option for eligible borrowers | Program minimum applies | Varies by program and borrower |
| Mortgage insurance | No monthly PMI | Mortgage insurance applies | May apply |
| Credit flexibility | Depends on lender and file | Depends on lender and file | Depends on lender and file |
| Refinance options | VA IRRRL or VA cash-out | FHA Streamline or FHA cash-out | Conventional refinance |
| Eligibility | Eligible veterans, service members, and qualifying spouses | Qualified borrowers | Qualified borrowers |
VA Home Loans in North Carolina and South Carolina
We work with eligible borrowers in Charlotte, Gastonia, Belmont, Mount Holly, Fort Mill, Rock Hill, Indian Land, and surrounding communities. Whether you are purchasing or refinancing, compare VA rates, fees, and terms for the property and borrower profile.
Common Myths About VA Loans
VA loans are only for first-time buyers. Eligible borrowers may use their VA benefit more than once, subject to entitlement and lender requirements.
VA loans always take longer. Timelines depend on the appraisal, underwriting, property condition, documentation, and the agreed closing date.
VA loans require perfect credit. Credit requirements depend on the lender and the complete file, not a single number alone.
VA loans can only be used in one state. A borrower’s eligibility and entitlement can be used for an eligible property in another state, subject to the program and lender requirements.
Why Veterans Choose 1st Advantage Mortgage
We compare VA pricing across wholesale lenders and help you understand eligibility, paperwork, appraisal timing, rates, fees, and refinance options. You work with a licensed mortgage professional who can explain the choices for your file and keep the process moving from application through closing.
Apply For A VA Home Loan With 1st Advantage Mortgage
If you’d like to discuss your options further or have any questions about our lending services, speak with one of our friendly Mortgage Experts.
Ready to get started? Great! Click “Apply now” below to begin your application.
VA Home Loan FAQs
Buying your first home on a VA loan? VA loans for first-time buyers covers entitlement, the funding fee and how VA compares with a first-time buyer program.
