VETERAN AFFAIRS LOANS - VA
How much cash do I need with the Closing Cost Assistance Program (CCAP)?

The below chart is an illustration of how much a borrower will approximately need as the total cash to close. This chart was created with the pricing and
interest rates on May 11th, 2016. The rate was 4% and the APR was 4.15%.
          

Purchase Price   580 Score      600 Score        620 Score          640 Score         660 Score         680 Score          700 Score        720 Score
                                            
$150,000.00         $5,098.00       $5,098.00          $3,786.00           $2,661.00          $2,473.00          $2,286.00          $2,2864.00         $1,911.00
                                      
$200,000.00         $5430.00        $5,430.00          $3,680.00           $2,180.00          $2,000.00          $2,000.00          $2,000.00           $2,000.00
                                     
$250,000.00         $6,702.00       $6,702.00          $4,514.50           $2,639.00          $2,500.00          $2,500.00          $2,500.00           $2,500.00
                                     
$300,000.00         $7,549.00        $7,549.00          $4,924.09          $3,000.00          $3,000.00          $3,000.00          $3,000.00           $3,000.00
                                     
$350,000.00         $8,282.00        $8,282.000        $5,219.00          $3,500.00          $3,500.00           $3,500.00         $3,500.00          $3,500.00

$400,000.00          $8,995.00       $8,995.00          $5,495.00          $4,000.00          $4,000.00           $4,000.00          $4,000.00          $4,000.00


For information on this program contact Bluecastle Lending at 954-866-0000, email alex@BluecastleLending.com . Bluecastle Lending is an Equal
Opportunity Lender
A VA loan is a mortgage loan that’s backed by the Department of Veterans Affairs (VA) for those who have
served or are presently serving in the U.S. military. While the VA does not lend money for VA loans, it backs
loans made by private lenders (banks, savings and loans, or mortgage companies) to veterans,
active military personnel, and military spouses who qualify.

There are many benefits to a VA loan, but one of biggest benefits is that no down payment is
needed to purchase a home. This can make home ownership a reality for active military or
veterans who might otherwise not be able to afford it. VA loans are designed for military
personnel, veterans, and military families. The list of those who are eligible for this
home-buying military benefit include:

•        Veterans
•        Active-duty personnel
•        Reserve  members
•        National Guard members
•        Some surviving spouses

You must also have suitable credit, sufficient income, and a valid Certificate of Eligibility
(COE). And you must use the home for your own personal occupancy. Still unsure if
you’re eligible? Check the Department of Veterans Affairs website for a detailed list of eligibility
requirements for military service members, veterans, and military spouses.

The VA loan program is offers some of the most attractive and flexible loans available, and they are exclusively
for military personnel, veterans and their families. Perhaps the two biggest benefits that make these loans more
affordable than a typical loan are that the borrower typically does not need to make a down payment, and there
is no private mortgage insurance (PMI) requirement.

Here’s a look at the list of benefits, as taken directly from the Veterans Affairs site:

•        No down payment required (unless required by the lender or the purchase price is more than
         the reasonable value of the property).
•        Negotiable and competitive interest rate.
•        Ability to finance the VA funding fee (plus reduced funding fees with a down payment of at least
         5 percent and exemption for veterans receiving VA compensation).
•        VA rules limit the amount you can be charged for closing costs.
•        Closing costs are comparable with other financing types (and may be lower).
•        Closing costs may be paid by the seller.
•        No private mortgage insurance premiums are required.
•        An assumable mortgage.
•        Right to prepay your mortgage without penalty.


How Big of a VA Loan Can Veterans & Military Personnel Get?

According to the VA there is “no maximum that an eligible veteran may borrow using a VA-guaranteed loan.”
However, there are county limits that must be used to calculate the VA’s maximum guaranty amount for a
particular county. In other words, there’s no limit to how much you can spend on your new home with a VA loan,
but the VA has limits on how much liability it will assume, which can affect the amount of money your lender will
let you borrow.

Generally, eligible veterans or military personnel can get loans up to $417,000 with no money down.


How much are the Closing Costs on an VA guaranteed loan?

Some of your VA loan closing costs may--after being negotiated between buyer and seller--be paid by the
seller within the boundaries of the VA loan program’s rules. The borrower also has the option to pay some
closing costs out of pocket, which in South Florida they typically are about six percent of the gross selling price.
During the market recession when it was a buyer’s market, we used to get the seller to pay all of the closing
costs. Today in South Florida however, its a seller’s market and this could be very difficult to achieve. This is
one of the reasons we have the CCAP program.

How much cash do I need for a VA loan with the Closing Cost Assistance Program (CCAP)?

The below chart is an illustration of how much a borrower will approximately need as the total cash to close.
This chart was created with the pricing and interest rates on May 11th, 2016. The rate was 4% and the APR
was 4.32% (the APR includes the upfront MIP expressed as a finance charge and it does not take into account
the funds credited to you)
Equal Opportunity Lender
Florida Closing Cost Assistance - CCAP