VA Loansleft in Florida


Recent Headlines - The Pentagon Federal Credit Foundation offering grants for active military. Coupled with 100% VA financing this is a strong program!


Purchases : VA guaranteed loans are made by bankers like myself and guaranteed by the U.S. Department of Veteran Affairs (VA) to eligible veterans for the purchase of a home. The guaranty means the lender is protected against loss if you fail to repay the loan. In most cases, no down payment is required on a VA guaranteed loan although there is a funding fee that is financed into the loan.


Refinances: Additionally there are some excellent options for current VA loan holders who would like to refinance without an appraisal. e.g streamline VA refinance without appraisal


Other benefits of a VA loan include:

  • Compeditive interest rate.
  • Closing costs comparable 
  • No monthly private mortgage insurance requirement.
  • Right to prepay loan without penalties
  • Mortgage can be taken over (or “assumed”) by the buyer when a home is sold.
  • Counseling and assistance available to veteran borrowers having financial difficulty or facing default on their loan.


Although mortgage insurance is not required, the VA charges a funding fee to issue a guarantee to a lender against borrower default on a mortgage. The fee may be paid in cash by the buyer or seller, or it may be financed in the loan amount.


A VA loan can be used to buy a home, build a home and even improve a home with energy-saving features such as solar or heating/cooling systems, water heaters, insulation, weather-stripping/ caulking, storm windows/doors or other energy efficient improvements approved by the lender and VA. Please ask me about this.


Veterans can apply for a VA loan with any mortgage lender that participates in the VA home loan program such as Main Street Financial. A Certificate of Eligibility from the VA must be presented to the lender to qualify for the loan.






New grant for military first-time home buyers

WASHINGTON – July 27, 2011 – A new program offers financial assistance to first-time homebuyers who are veterans or active-duty military members. The Pentagon Federal Credit Union Foundation, a nonprofit national organization, offers the program through its Dream Makers program. There phone # is 800-247-5626 There web site is : The grants can be applied to a mortgage issued by any financial institution.
Federal VA Grants for First Time Homebuyers

Active duty personnel, veterans, retired members of the military and employees of the U.S. Department of Defense and the Department of Homeland Security may be eligible for a grant up to $5,000 to use toward downpayments and closing costs if buying their first home. The grants can be applied to a mortgage issued by any financial institution.

“Members of the military often put off buying a home early in their careers because they’re moving around the country a lot,” says Kate Kohler, chief operating officer for the PenFed Foundation. “We want to make sure they have resources to add immediate equity into their home when they decide to buy.”


  • Military affiliation – (active duty, reserve, National Guard or veteran) – a Department of Defense employee or a Department of Homeland Security employee.
  • First-time homebuyer or not owned a home for the last three years; or a home has been lost through divorce or disaster.
  • Gross household income, including allowances, used to qualify for a mortgage loan is a maximum of $55,000 per year, or 80% of a community’s median income based on family size.

To view eligibility requirements, visit or see below. The maximum grant is $5000 but $5000 tranlates into about $35 a month in mortgage payment. And this is a grant not a loan, so if you are entitled to this why not apply.

Source: “Veterans and Active Duty Can Get Financial Help When Buying Their First Home,” Pentagon Federal Credit Union Foundation (July 25, 2011)

Applying for a Dream Makers Grant

The Dream Makers Program offers grants for down payments to first-time homebuyers of modest means who valiantly work to protect our country’s national security.

You don't have to be a Pentagon Federal Credit Union member to benefit from Dream Makers, and you can apply the grant to a mortgage from any financial institution.

How Do I Qualify?

You're eligible for a Dream Makers grant if:

  1. You're Military (Active Duty, Reserve, National Guard or Veteran), a Department of Defense employee or a Department of Homeland Security employee.
  2. You're a first-time home buyer, or you have not owned a home for the last three years, or you have lost your home through divorce or disaster.
  3. The gross household income, including allowances, that you use to qualify for your mortgage loan is:
    • A maximum of $55,000 per year, or
    • A maximum of 80% of your community’s median income based on your family size

Click here to determine your community's median income based on family size.

What Steps Do I Take?

Decide the amount of money you will contribute to your mortgage financing.

  • $500 is the minimum amount for you to contribute.
  • Dream Makers will match that three-to-one, up to our maximum of $5000.
  • Estimate the size of your mortgage loan. Decide if the money you contribute, plus the Dream Makers grant, will be at least 3% of mortgage amount. You must put 3% down to qualify for the grant.

Fill out Dream Makers application. The fastest way to complete it is online.
You may apply when you start to think about purchasing a home: you don't have to select a home and/or a mortgage company before you submit your application. To fax or email, download this form.

We will respond to your application with instructions on the process. When you select your mortgage company, you will share the contact information with the Foundation who will coordinate the grant paperwork process with your lender.

Attend a home-buying educational seminar in your area.
See upcoming seminars and locations



Are There Any Restrictions?

  1. You must own the home for five years from the time of purchase. If you sell before the five years are up, the grant must be repaid on a sliding scale.
  2. If you sell your home because of a permanent change of station (PCS) or transfer by your government job before the five years are up, you do not have to repay the grant. If you are PCS’d or transferred and keep the home, you may rent it while you serve in your new duty station.
  3. Your mortgage must be a 30-year, fixed-rate loan, maximum of 97% financed, i.e. you made a down payment of 3%.
  4. The property must bye a 1-4 family unit dwelling including townhomes and condominiums.


Sliding Repayment Scale

You must own for five years. If the house is sold before then, the grant must be repaid:

  • 100% before year one is up
  • 80% before year two is up
  • 60% before year three is up
  • 40% before year four is up
  • 20% before year five is up
  • No repayment after 5th anniversary

Mortgages for 30-year fixed-rate loans, maximum of 97% financed. 3% down payment required. Property must be a single family dwelling including townhomes and condominiums. Must be at or below maximum income guidelines to qualify.