VA Home Loans
UMe proudly serves those who served our country. Let us help you realize the dream of buying a home through a VA loan.
Operation Homeowner begins now!
After everything you’ve been through in service to our country, buying a home should be easy. Luckily, the VA has your back, so you don’t need a down payment!
3 Big Reasons to Get Excited
No Down Payment
That’s right. You can get a VA loan with 0% down and no need to pay private mortgage insurance (PMI).
Easier Qualifying
We’ll take a look at your entire financial picture, with fewer income restrictions than other loans.
Great Rates and Terms
You can choose from fixed or adjustable-rate interest and get the right term for your budget.
Essential VA Loan Details
We’re guessing you’ve heard of the United States Department of Veterans Affairs, right? But maybe you’re not quite sure what the VA has to do with your home loan.
Well, here’s the low down. UMe, your friendly neighborhood credit union, can set you up with a VA mortgage. The VA will then insure that mortgage in the (highly unlikely) event you can’t make your payments.
Because of this insurance, UMe can give you a loan with no down payment, easier qualifying, and competitive rates. So, who’s eligible for this fantastic offer? While there’s a little fine print you’ll need to read, VA loans are generally available to the following:
- U.S. Veteran
- Active-duty service member
- Reservist
- National Guard member
- Eligible surviving spouses
With thanks from us all!
VA Home Loan Rates
|
LOAN TYPE |
RATE AS LOW AS |
APR* |
MONTHLY PAYMENT |
|---|---|---|---|
|
LOAN TYPE 30-year fixed |
RATE AS LOW AS 5.250% |
APR* 5.365% |
MONTHLY PAYMENT $2,761.02 |
|
LOAN TYPE 15-year fixed |
RATE AS LOW AS 4.500% |
APR* 4.692% |
MONTHLY PAYMENT $3,824.97 |
|
LOAN TYPE 5/1 adjustable-rate (ARM) |
RATE AS LOW AS 3.375% |
APR* 3.478% |
MONTHLY PAYMENT $2,210.48 |
— Rachelle G., Burbank, CAI love that UMe is so involved in our community—packing care boxes in the parking lot for soldiers was really fun and special for my kids to participate in. I highly recommend this bank!
Essential docs you’ll need to get a VA loan:
Applying for a VA loan isn’t all that different from a regular home loan. The main difference is you’ll need to get a Certificate of Eligibility (COE) from the good folks at the VA. Once you have that in your pocket, just show us the most recent or current versions of these documents:
- Photo ID and proof of address (as per usual, right?)
- Bank statements and proof of any other assets (you can earn high or low and still qualify for a VA loan!)
- Tax returns (they’re just one part of the picture, not the be-all-and-end-all)
- Pay stubs, W-2s, 1099s, and anything else to show your hard work
- Gift letters (just in case a family member can help out with your down payment)
- Evidence of your (no doubt excellent!) renting history or previous homeownership
- Credit history—feel free to check your credit score for yourself before we request a report
No need to sweat the VA loan process
Call the VA to Confirm
Reach out to the VA and check that you’re eligible for a VA loan based on your service or status.
Certificate of Eligibility (COE)
Get your coe from the VA and gather all the documents from the above list.
Three Ways to Apply
Decide if you want to apply for your VA loan online, over the phone, or at your favorite UMe branch.
Application Review
Sit tight while we review your application. Expect a prompt response—yes, no, or request for more details.
Cleared for Ownership
Let’s assume we can pre-qualify you for a VA loan—you can now start looking for a place to call home!
Proceed to Base
Once the seller accepts your offer, we’ll guide you through the closing process, including a VA home appraisal!
2 great payment options—the choice is yours!
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Payroll Deduction
Set up payroll deduction to easily pay off your loan with us.
We automatically deduct your loan payment from each paycheck, so you don’t need to remember when it’s due.To find out if you’re eligible for payroll deduction, contact your employer’s benefits department. If you already have payroll deductions and want to set up automatic loan payments, call us at (818) 238-2900.
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Automatic Transfers
Automatic transfers allow members to transfer funds within UMe accounts on a recurring.
You can arrange automatic monthly loan payments, so you don’t have to remember to do it.
To set up an automatic transfer, fill out our Share to Loan Transfer Form or call (818) 238-2900.
FHA Home Loan FAQs
The Department of Veterans Affairs backs VA loans. This allows credit unions like UMe to offer incredible loans to incredible people like you who have served our country. The VA also provides insurance on loans they guarantee. This protects the lender if you default on your VA mortgage (not gonna happen, we know!). This backing means we might be able to offer you a loan even if your financial situation isn’t typical.
Here are a few of the best things about credit union VA loans:
- No down payment needed
- Easier qualifying—we’re not just looking at your credit score
- Your income can be a little lower, but it can also be higher (FHA loans have an income limit, you see)
- The VA caps closing costs, limiting what lenders can charge you
- You can use the VA home loan program to buy your first home, or you can be a repeat buyer
- You can transfer your VA home loan to another eligible Veteran in the future (because it’s what we call “assumable”)
VA mortgage rates tend to be lower than conventional loans (which are your typical loans, not backed by the government).
That said—borrowers with higher credit scores are eligible for lower interest rates on a VA loan. Those with lower scores may receive higher-rate quotes from lenders. Also, the term you choose will impact your rate. Shorter terms get lower rates!
Note that your annual percentage rate (APR) is your interest rate plus any applicable fees rolled into one handy figure.
Generally speaking, yes. But your choice of terms might depend on your particular financial situation. Just ask UMe, and we’ll guide you in the right direction!
Keep in mind that a longer loan term means a lower monthly payment. However, you’ll pay a bit more in interest. Of course, short terms mean the opposite. You’ll save on interest, but your monthly payment might stretch your budget.
The short answer is, yes. But VA fees are a little different than for conventional loans so here’s what you need to know:
- With VA loans, you don’t need to pay something called private mortgage insurance (PMI), which is what you usually need to pay when your payment is less than 20%. Repeat, no PMI!
- But you do need to pay a VA Funding Fee.
- You can pay the funding fee upfront in cash, or have it rolled into your loan principal.
If you’re wondering what the fee is for, it’s to help with that government guarantee we talked about earlier. The fees are a way for you to split the bill with U.S. taxpayers (like yourself!).
That’s a very good question! Closing costs pay everyone who has a hand in your home loan, including:
- Your local friendly lender
- Real estate agents
- Lawyers (if needed!)
- The people who handle titles and other expert admin
- Taxes and fees you have to pay in advance and leave in a cool account called Escrow
- Appraisals, inspections – honestly, the list goes on.
But lucky for you, the FHA limits the amount you need to pay in closing costs so your home loan is more affordable and you can get settled in soon.
Absolutely! VA loans in California are available to eligible veterans, active-duty service members, and their qualifying spouses nationwide. These loans offer favorable terms and benefits, such as no down payment requirements and competitive interest rates. FHA loans are a good choice for buying or refinancing a home in California.
You can join UMe if you live, work, worship, attend school, or belong to a Burbank organization. If you don’t meet those qualifications—you can still become a member. Simply make a $10 donation to the Burbank Arts & Education Foundation!