VA Loans are mortgage loans available through a program established by the United States Department of Veterans Affairs.
The VA sets the qualifying standards, dictates the terms of the mortgages offered, and guarantees to pay a portion of the loan.
However, the VA does not finance the loan. VA loans can be of value to veterans, service members, and families of service members because these individuals can purchase homes with little to no down payment, no private mortgage insurance (PMI), and generally get a competitive rate with limited closing costs.
With that being said, VA loans do require a small funding fee. If you can afford to put down a higher percentage of your down payment, a conventional loan might make more sense.
For more info, contact a HBLending Home Loan Expert.