By Kelly Overgard, Mortgage Loan Officer
Oak Group of Kevnik Mortgage
Just about anyone who owns a home has heard it is a really good time to look at refinancing. Interest rates are extremely low and property values are up. That combination can make for a really great opportunity to lower your rate or payment, shorten your term and/or pull cash or equity out of your property.
The U.S. Department of Veteran Affairs allows our veterans who currently have a VA home loan to refinance their mortgage using a fantastic program called the VA Interest Rate Reduction Refinance Loan also known as the VA IRRRL (pronounced earl). It is an incredible program when used correctly.
Unfortunately, when rates drop like this some lenders use aggressive and potentially misleading advertising and sales tactics. Lenders may advertise a rate just to get you to respond, or you may receive a VA mortgage refinance offer that provides limited benefit to you while adding thousands of dollars to your loan balance.
How will you know if the offer is too good to be true? Here are some offers and tactics to watch out for:
Offers to skip one or two mortgage payments
Offers to receive an escrow refund
Low-interest rates without specific terms or annual percentage rate (APR)
Aggressive sales tactics
Benefits of this VA IRRRL program typically include:
No appraisal
No income verification
No credit information other than an acceptable mortgage rating
Reduced VA funding fee and lower closing costs
Veterans, do not miss out. You have worked hard and sacrificed a lot protecting our country and deserve this benefit. Contact your trusted Mortgage Loan Officer or current servicer now.
For more information contact Oak Group with Kevnik Mortgage oakgroup@kevnikmortgage.com, email them at oakgroup@kevnikmortgage.com, or call 952-913-7797.
An original article from Prior Lake Neighbors Magazine.
