topic Re: VA mortgage rate question in Mortgage Loans

VA mortgage rate question

Krowdy — Tue, 26 Jun 2018 16:22:08 GMT

I have a middle mortgage score of 730. I understand that 740 gets better rates on a conventional loan but I read that rates are the same on VA loans no matter the score? Is it true that you get the best rate as long as your score qualifies for a VA loan or are there different levels as well?

Re: VA mortgage rate question

MauiMan85297 — Tue, 26 Jun 2018 17:17:49 GMT

That isn't correct but it's nothing extreme like a conventional loan. You will get better pricing for a score above 740, if not the rate but the points you will either pay or not will be less.

Re: VA mortgage rate question

Anonymous — Tue, 26 Jun 2018 17:49:25 GMT

Hi there, I am a llicensed lender in 3 states and tested this this theory just a moment ago. I ran a purchase loan scnario assuming a fico score at a 720 and at a 740 under a VA loan program 30 year fixed. There was absolutely no difference in loan rate or points between these two examples.

Re: VA mortgage rate question

Anonymous — Tue, 26 Jun 2018 18:36:24 GMT

@Krowdy wrote:
I have a middle mortgage score of 730. I understand that 740 gets better rates on a conventional loan but I read that rates are the same on VA loans no matter the score? Is it true that you get the best rate as long as your score qualifies for a VA loan or are there different levels as well?

There are no different rate tiers for a VA loan. As long as you qualify for the loan, you will get the same rate as someone with a 680 or 760.

Re: VA mortgage rate question

Krowdy — Tue, 26 Jun 2018 19:37:56 GMT

Thanks everyone this is great info. What rates are you seeing for VA right now?

Re: VA mortgage rate question

Krowdy — Tue, 26 Jun 2018 19:45:02 GMT

Also does it change if you get above 760 or higher?

Re: VA mortgage rate question

thejeremyftw — Wed, 27 Jun 2018 13:11:25 GMT

I'm going through the process right now. What I've found is that it depends entirely on the lender. Some lenders still tier VA loan candidates, some don't. That being said, all lenders compete with each other. Therefore, if you get a solid preapproval from one lender, but have a lender you'd prefer to go with, just take your preapproval to your preferred lender and see what they can do to match or beat.

Re: VA mortgage rate question

NC_Mtg_Loaner — Wed, 27 Jun 2018 23:36:43 GMT

While you are shopping and comparing rates, be sure to get these quotes from various lenders on the same day.

Those that re-price based on the US 10 YR Treasury yield are very likely to be providing better terms today than they were yesterday, not to mention a week or a month ago.