Explore the best VA loan lenders tailored for veterans and active military members. Our top picks offer competitive rates, exceptional service, and a commitment to helping you achieve your homeownership dreams. Start your journey with trusted VA loan experts today
The mortgage process can be daunting. But it doesn’t have to be if you choose the right lender for your needs.
Finding the best VA mortgage lenders based on your exact homebuying needs can save you money, reduce stress and improve the overall quality of your experience. Choosing the first lender you come across might mean missing out on better loan terms or even a lower interest rate.
1. AmeriSave
Purchasing a home isn’t something most people do with any regularity, so when the time comes to buy a new one, it’s important to work with an experienced lender. This is especially true for those looking to take advantage of VA loan benefits, as this type of mortgage is a specialty product that requires specialized knowledge.
The best VA lenders offer a variety of mortgage programs that can help veterans and their families purchase a home that is right for them. They also offer various discounts and rebates that can help make homeownership more affordable. These benefits can include lender credit that can be applied toward closing costs, a reduction in the interest rate or a discount on the lender origination fee. In addition to these benefits, some of the top VA lenders will also provide assistance with obtaining certificates of eligibility, as well as a list of approved appraisers and title companies.
A veteran-focused company, USAA Mortgage has years of experience in assisting current and former military members with their mortgage needs. The lender offers a wide variety of mortgage products, including VA loans, and has an excellent reputation for customer service. In addition to offering competitive interest rates, USAA Mortgage has a number of unique programs that can make it easier for veterans to purchase a home, including America’s Home Grant, which provides money that can be applied towards closing costs or lowered the borrower’s interest rate. This program is only available to eligible Preferred Rewards members, and some income and loan limit restrictions apply.
Another VA-friendly lender is Navy Federal Credit Union, which offers a variety of mortgage programs that can be used to purchase or refinance a home. The lender is known for its mobile-friendly loan application and competitive mortgage interest rates. Additionally, Navy Federal Credit Union has a number of branches throughout the country, making it easy for veterans to work with a local loan officer.
New American Funding is another good choice for VA loan borrowers. The lender is known for its low credit score requirements, as it accepts applicants with a credit score as low as 580. In addition to its excellent VA loan rates, the lender also offers payment assistance programs and looks at alternative credit data to assess a borrower’s situation.
2. Navy Federal Credit Union
If you’re a veteran, active-duty service member, National Guard or Reserves member, or spouse of one, the VA mortgage may be an excellent option to help you purchase a home. The Department of Veterans Affairs backs these mortgages, and lenders like Navy Federal offer competitive rates and fees to appeal to veterans and service members.
A VA loan can also help you avoid some upfront costs associated with other mortgages, including an up-front VA funding fee and monthly mortgage insurance premiums. However, these loans can come with unique terms and conditions, so it’s important to shop around and compare offers from different lenders before choosing a lender.
Before you start the process of finding a VA lender, make sure you’re eligible. The first step is obtaining your Certificate of Eligibility (COE), which you can request through the eBenefits portal or ask your chosen lender to retrieve on your behalf. Once you have your COE, you can begin the application process by providing your financial information and preparing the required documents, such as pay stubs and bank statements.
Once your application is complete, the VA underwriter will remove any conditions imposed during the review period and you’ll be able to proceed with the closing process. Depending on the lender, this could involve signing mortgage-related documents in person or online. Some lenders also offer their customers the option to use a settlement company or real estate attorney to handle the final steps of completing the mortgage and purchasing your new home.
When selecting the best VA loan lender for you, consider which factors are most important, such as interest rates, terms and fees, and customer service. While the above lenders all boast strong track records, you should assess whether they align with your homeownership goals and service expectations. You can also consider other lenders that specialize in VA loans or have robust online platforms, such as Quicken Loans by Rocket Mortgage and USAA. These lenders can streamline the VA loan application and approval process, and their competitive rates and fees are an attractive proposition for those who prioritize a digital experience.
3. Veterans United
Veterans United has an online portal called myVeteransUnited that lets you apply for loans, check the status of your application and more. It also helps you manage your mortgage after closing. You can access the myVeteransUnited website via mobile devices and desktop computers. You can also use it to pay your mortgage and communicate with customer service.
VA mortgages offer benefits that can save homebuyers a lot of money. For instance, interest rates are typically 0.5 to 1 percent lower than conventional mortgages. This can help you save every month and over the lifetime of your loan.
As with any type of mortgage, you will need to go through a loan application process before you can be approved for a VA loan. You will be asked questions about your credit history and employment to help the lender assess your risk. The lender will then issue a preapproval, which is the first step in the loan approval process.
You can compare VA lenders by checking their interest rates on the Department of Veterans Affairs (VA) website. However, you should remember that mortgage rates fluctuate daily. It is also important to look at the annual percentage rate, or APR, which takes into account all fees and expenses.
Some lenders may require a certain credit score or income level to qualify for a VA loan. However, others may be more flexible. For example, New American Funding accepts applicants with a credit score as low as 580, which makes it a good choice for borrowers who have bad or fair credit. It also offers a Latino focus program to assist military families with buying homes.
Guaranteed Rate is another lender that caters to veterans and other borrowers with unique financing needs. The company has an excellent track record of customer satisfaction with a five-star rating on Bankrate and a perfect score on Trustpilot. It also offers competitive interest rates and a variety of loan options.
USAA is one of the largest VA lenders in the country and has an excellent reputation for customer service. The lender offers a variety of loan products, including IRRRL VA refinances, Jumbo VA mortgages and VA energy-efficient mortgages. Its website allows you to see personalized interest rates and provides a list of the fees associated with each product.
4. LoanDepot
If you’re buying a new home, it’s important to know which lender will be the best fit. Different lenders offer a range of benefits and have different requirements when it comes to eligibility, credit score, debt-to-income ratio, and closing costs. While there are a few lenders that specialize in VA loans, many others have different loan programs and processes, so it’s important to understand which lender will be the most helpful for your unique situation.
Whether you’re a first-time buyer or want to refinance your existing mortgage, there are a number of advantages to choosing a VA loan. For starters, you’ll avoid paying private mortgage insurance – which typically adds up to 1.2% of your mortgage balance each year. Additionally, you’ll be able to get a higher loan-to-value ratio than conventional loans, meaning you could potentially afford a larger home.
As one of the country’s top VA lenders, USAA offers competitive interest rates and a simple application process. They also have a robust offering of additional benefits for veterans, including a homebuying concierge, a bonus cash incentive to work with an affiliated real estate agent, and a credit-building consultation. Additionally, USAA has a strong reputation for customer service, ranking first in 2023’s J.D. Power mortgage origination study.
Another top VA lender, Freedom Mortgage offers a wide range of products, including Conventional, FHA, USDA and jumbo loans. However, they’re most notable for their VA offerings, as they offer zero-down VA purchase loans and competitive interest rates. Freedom Mortgage is also one of the few lenders that provide a brick-and-mortar experience, with branch locations in all but seven states.
For those looking to purchase or refinance their homes, the best place to start is with a trusted advisor. A knowledgeable loan officer can help you determine if a VA loan is the right option for you, and can walk you through the steps of getting started. With proper planning and preparation, you can be on your way to homeownership with confidence. NerdWallet’s list of top VA loan lenders features lenders that have a proven track record, streamlined application and processing times, and exceptional customer support.
