Veterans United Home Loans is the largest originator of VA mortgages in the United States. This lender does one thing and does it well. In this review, we'll take a closer look to see if Veterans United could be a smart choice for you.
On Veterans United's Secure Website.
On Veterans United's Secure Website.
Best for: VA loans
The fact that it is the largest VA home lender speaks volumes. But Veterans United also offers an array of terms and loan products, in addition to competitive rates.
This mortgage lender is a good fit for: Borrowers eligible for a VA loan. VA lending is what Veterans United does best, and it has a massive toolbox of resources for eligible borrowers.
Veterans United Home Loans has a user-friendly online approval process. Borrowers can obtain a quote for a VA purchase or refinancing mortgage quickly and easily on the company's website. The company's MyVU online portal allows buyers to check application status, review and submit documents, and more.
Unlike with most other mortgage products, VA borrowers aren't required to come up with a down payment. At Veterans United Home Loans, borrowers can even roll the VA funding fee into the loan (2.3% for most new borrowers, or 3.6% for those who have obtained a VA loan previously). Also, there's a cap on lender fees (at 1% of the loan amount) that can be charged for a VA mortgage.
VA mortgages don't require borrowers to pay private mortgage insurance (PMI) premiums, even with no down payment. The government guarantees all VA loans and assumes the risk.
VA mortgages don't represent a large amount of risk to the lender because of their government guarantee. Therefore, VA mortgages typically have very competitive interest rates. Veterans United Home Loans says borrowers generally get rates 0.5%-1% lower than conventional mortgage rates.
The Veterans United Home Loans website is a treasure chest of valuable information for those who qualify for a VA mortgage loan. There are extensive resources that spell out eligibility requirements and details of VA mortgages in easy-to-understand terms. The company employs advisors from each branch of the U.S. Armed Forces to help ensure its processes and products serve the target customer base as well as possible.
Veterans United Home Loans has 25 physical branches across the U.S. This is convenient for many buyers who want in-person guidance.
Veterans United Home Loans gets extremely high marks for customer satisfaction. It is one of the only major lenders focused on providing service to veterans. Home loan specialists are available 24/7 by phone. The round-the-clock availability is designed to help facilitate the mortgage process for military personnel stationed overseas.
Veterans United Home Loans requires a 640 minimum credit score for its VA loans, and provides credit counseling to help borrowers get their scores up to par. The company's Lighthouse program has helped tens of thousands of people build up their credit and become homeowners.
If you're looking to borrow money against the equity you have in your current home, Veterans United Home Loans can't help you. You would need to pursue a cash-out refinance.
Veterans United Home Loans says (on the phone) that it also offers the conventional loan, FHA loan, USDA loan, and jumbo loan. But those are apparently offered through lending partners. If the loan type you want is a VA loan, you're in luck. It's not possible to get information about non-VA loans on the Veterans United Home Loans website. After clicking through the "get a quote" tool, we got a message that said, "Since you indicated that you are not an active or former member of the U.S. Military, we have matched you with a lending partner."
If you think a VA mortgage might be right for you but want to keep your options open, check out a less-specialized lender like Citi Mortgage. Citi Mortgage offers non-VA programs designed to make homeownership affordable. For example, its Citi HomeRun loan program has a 3% down payment requirement and no PMI.
Another lender to consider is Better.com. Better Mortgage is a tech-focused lending platform that allows the borrower to complete the mortgage process quickly and efficiently, 100% online. Better has some unique programs, such as a 3% down payment option for first-time buyers. Also, unlike any VA lender, Better charges no lender fees whatsoever.
It's a good idea to get multiple lender quotes before you choose a mortgage lender. By filling out mortgage applications with a few lenders, you may find a lower-cost loan. A lower APR can save you thousands of dollars over the term of your mortgage. Keep in mind that each lender sets its own mortgage rates, even on government-backed mortgages like VA loans. And since there's a special provision in the FICO credit scoring methodology so you aren't penalized for multiple loan applications during a two-week shopping window, there's no reason not to.
Veterans United Home Loans has branch offices in 18 states. It also has a user-friendly online portal where you can get a rate quote or fill out a mortgage application. You can start the VA loan process on the website. Once you've applied, you're assigned tasks to complete through the MyVU portal. The online process gets excellent scores when it comes to customer satisfaction. As mentioned, Veterans United Home Loans requires a 640 credit score for VA home loan applicants.
If you run into any snags, Veterans United Home Loans has 24/7 live help, which makes it a great choice for active-duty military personnel stationed overseas or for anyone who doesn't keep "banker's hours."
Since Veterans United Home Loans specializes in VA loans, rates are very competitive. The 15-year VA Streamline Refinance IRRRL (Interest Rate Reduction Refinance Loan) is currently advertised at the same low rate as the VA purchase loan. The 30-year VA IRRRL is about three-eighths of a percentage point higher. The VA Streamline Refinance has lower fees than a VA purchase loan or VA cash out refinance. The VA funding fee on an IRRRL is 0.5% (for borrowers who are not exempt), and that fee can be rolled into the loan.
Veterans United's mortgage rates trend lower than the national average, and on par with other VA lenders. VA loan rates are usually low in general because with government backing, the lender is taking on less risk. Even so, total loan costs at Veterans United are very low. When we checked, the lowest available rate on a 30-year fixed-rate VA mortgage was available to borrowers who pay five-eighths of 1% in mortgage discount points. That is substantially less expensive than the lowest rate from many other lenders.
You're a VA home buyer. Veterans United Home Loans is a leader in VA mortgages. They have the experience and know-how to offer a good experience.
You want an online mortgage. Veterans United Home Loans provides an easy-to-use online process, backed up by 24/7 live customer service.
You're working to improve your credit. Take advantage of the free and highly-rated credit counseling service at Veterans United.
Veteran United's interest rates are lower than the national average loan rate, and on par with other VA lenders.
Since Veterans United specializes in VA loans and no other type of mortgage, they are an excellent choice for veterans and other borrowers who qualify for a VA loan. Based on reviews, this lender does a great job helping borrowers get VA loans.
Yes, if you are eligible for a VA refinance loan.
You'll need a credit score of 640. If your score is lower, Veterans United has free credit counseling services to help you bring it up. You don't need a down payment. Your debt-to-income ratio should be under 41%. If it's higher, your application will undergo more scrutiny but may still be approved.
Veterans United offers all varieties of VA loans, including refinance loans and jumbo loans.
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