A Department of Veteran Affairs Mortgage has several benefits compared to conventional financing. These benefits include:

• 100% financing: no down payment or monthly mortgage insurance (PMI) payments.
• Competitive interest rates comparable or lower than conventional programs with 20% down payment requirements.
• The home buyer/borrower’s closing costs can be paid by the seller, up to 4% of the amount.
• Flexible credit requirements: Veterans with lower credit scores may qualify for a much lower interest rate than would be obtainable on a conventional program.
• Streamline Refinance (IRRRL) allows you to refinance to a lower rate without having to re-qualify.