By Jane Hale
VA mortgage refinancing in TX is very similar to VA mortgage refinancing in other parts of the country; however, Texas veterans have options that aren’t available to everyone. Here are three things you should know before getting a VA mortgage refinance in Texas.
You Can Quit Paying Mortgage Insurance
If you currently have a conventional mortgage and pay mortgage insurance, a VA mortgage refinance is worth considering. VA refinance loans are available for up to 100 percent of your home’s value. Closing costs and other loan fees are limited, which means your refinancing costs are kept to a minimum. Debt ratios are also very lenient, so it is easy to qualify. The total amount of money you can save with a VA mortgage refinance depends on how much you currently pay in insurance, but it wouldn’t be unreasonable to expect to save thousands of dollars over the life of your loan.
You May Be Eligible for a VA Interest Rate Reduction Loan
If you already have a VA loan, you may be eligible for a VA Interest Rate Reduction Loan. This loan is available to Texas veterans who want to refinance their original VA mortgage to lock in a lower interest rate. Because there are no appraisals, credit checks, or loan verifications, this loan comes without any out of pocket expenses.
Texas Has Other Special Veteran Loan Programs
In addition to regular VA mortgage refinances, Texas veterans also have access to one of three assistance programs available through the Texas Veteran Land Board. The programs include home loans, home improvement loans, and housing assistance. At this time, refinance loans are not available. Veterans who want to refinance to get a lower rate or lower payment will not find these programs very helpful, but veterans who want to get a cash-out refinance for home improvements may want to consider the offerings of the Texas Veteran Land Board.