VA Mortgage

VA mortgages are for veterans, active military and their families. This home loan has many benefits and makes it easier and more affordable to own a home in Wisconsin.

No Down Payment Requirements

VA mortgages allow you to purchase a home with no money down. You are able to finance 100% of the agreed purchase price or appraised value (the lesser of the two).

No mortgage insurance (MI or PMI)

The U.S. Department of Veterans Affairs (formerly known as Veterans Administration) insures the mortgage for you. The federal government is not a mortgage lender, but it reduces the risk to lenders so the borrower isn’t required to obtain mortgage insurance. No other mortgage has this type of policy.

Lower Interest Rates

Generally, VA home loans have lower interest rates because of the government guarantee which reduces risk to lenders. Stampfli Mortgage has access to multiple wholesale lenders with interest rates for Wisconsin VA mortgages.

Low Closing Costs

The VA mortgage guidelines limit closing costs to those deemed “allowable and customary”. These include the appraisal, credit report, property survey, flood/hazard insurance, title fees, and VA funding fees. Additional costs such as attorney fees, brokerage fees, loan application fees, document preparation, and other fees must be paid by the lender or the seller. These fees cannot be passed on to the borrower. A knowledgeable mortgage advisor at Stampfli Mortgage will also be able to uncover additional savings options to reduce out-of-pocket costs at closing.

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Lower Credit Score Requirements

Borrowers with diminished credit may have an easier time qualifying for these military loans than for other types of mortgages. Some VA home loan lenders will approve a mortgage for borrowers with a FICO credit score as low as 580, though 620-640 is the more common minimum.

Borrowers with no established credit history may be able to meet the qualifications for a VA loan by demonstrating a record of timely payments on recurring expenses such as rent, utilities, or cell phone bills.

VA mortgage guidelines have shorter waiting periods following a foreclosure or bankruptcy than most other types of loans. Homeowners who have been through foreclosure can re-qualify for a new VA loan in as little as two years. Those with a Chapter 7 bankruptcy may apply for a VA home loan as soon as two years after the discharge date, while those with a Chapter 13 may qualify after as little as one year of making timely payments on the bankruptcy obligations.

Refinance Options for the Wisconsin VA Mortgage

VA Streamline Refinance

VA Streamline Refinance, also known as a VA Interest Rate Reduction Refinance Loan (IRRRL), offers an expedited way to refinance an existing VA loan to a new loan at a lower rate.

To qualify you must currently have a VA home loan, be current on your mortgage payments, and have had no more than one late payment over the past year. That means you do not need to provide numerous documents regarding income and you are not required to have a property appraisal.

In addition, the new loan must either have a lower monthly payment than your current loan or be to refinance from an ARM to a fixed-rate mortgage. It’s a good choice when VA mortgage rates today are lower than what you’re currently paying.

You can even do a VA Streamline Refinance if your home has fallen in value, leaving you underwater on the mortgage (owing more than the property is worth).

VA Cash-out Refinance

A VA cash-out refinance allows you to borrow against your home equity to obtain funds for any purpose you wish. Perfect for debt consolidation and paying off higher interest rate creditors (credit cards, auto, etc.) with a lower rate mortgage.

You can also use a VA cash-out refinance to refinance a non-VA mortgage (conventional, FHA, USDA) into a VA home loan.

Those who have served in our armed forces and qualify for this benefit are encouraged to take advantage of this unique mortgage opportunity.