Hawaii VA Loans

I remember when having above a 700 Fico (credit) score was superb. If you had a 720, you were in elite status and able to get the best loan rates around. Fast forward to 2008 - and a 720 Fico score no longer guarantees a borrower the lowest mortgage rates.

Here’s how this all started. In December 2007, Fannie Mae (FNMA) & Freddie Mac (FHLMC) (the two government sponsored agencies in charge of buying and selling mortgages on the secondary market which helps replenish the supply of capital in the mortgage market) implemented new Loan Level Price Adjustments based on credit score & loan-to-value.

Translation: FNMA & FHLMC implemented a tiered price adjustment matrix which increased closing costs for borrowers with lower credit scores and lower down payment. Why did they do this? To compensate for the losses FNMA & FHLMC were taking on the secondary market due to the increased amount of defaults and foreclosures occurring in the real estate market.

[Read More]

Hello Gabe,
It’s been two months since you helped us obtain a new VA home loan that enabled us to save money with a reduced interest percentage rate from 6.25 to 5.75! In the two months we have saved hundreds of dollars giving us a peace of mind, knowing that we truly did the right thing by refinancing our original VA home loan. You especially helped during the transition by answering the many questions that we had and doing additional work in order to make the transaction happen and we greatly appreciate all the work you did! We will be recommending you to others that we know who can benefit from your great professionalism, expert knowledge, and helpful attitude.Much mahalo for all you do!
Captain Matthew and Kristy Curtin

Delicia & Kevin White

My husband and I recently located from Hawaii to Georgia but were unable to sell our property because we owed more than what the home was now worth. Kevin and I decided to rent the property, but unfortunately we could not find a renter that could cover our entire mortgage. We contacted Hawaii VA Loans to see what we could do to lower the monthly payments & Gabe Amey, the Branch Manager & VA Loan Specialist advised us that we could participate in a VA Streamline Refinance to lower our interest rates. Gabe explained that since a streamline refinance does not require an appraisal, our home value was not an issue.

During the refinance, Gabe notified us that my credit report showed a recent car repossession that could prevent us from getting our loan approved. The car loan was from a previous marriage . I had co-signed on a car for my ex-husband roughly 10 years ago. Gabe was extremely helpful in this matter, he contacted the creditor, requested an updated balance statement from them and then helped us write a letter of explanation to the underwriter explaining the circumstances.

Through out this process Gabe succeeded in getting our loan approved and helped us lower interest rate and mortgage payment. We are now now saving $167 per month on our mortgage payment which gives us an additional $2,000 a year in savings. We are grateful for the help of Gabe Amey and the Hawaii VA Loans team. Not only did they help us lower our mortgage, the entire staff was friendly and professional and we would highly recommend them to anyone looking to get VA Financing!

Sincerely,
Delicia & Kevin White

I’m please to announce that recently completed Capitol Place is now approved for VA mortgage financing!  Located in Downtown Honolulu, Capitol Place has really set the bar high when it comes sleek and contemporary urban living here in Hawaii.

One, Two & Three bedroom units are currently available with prices ranging from the high $400K range to over $1 million. Here is a complete list of units currently for sale.

To see if a particular condo is VA approved for financing, visit our Condo Eligibility Check Tool on HawaiiVALoans.com. If a particular condo is not on the list, feel free to contact us for details on how to get that condo VA approved.

Here’s more info regarding the building from the developer, PMK Development:

It stands sleek and proud on the corner of Beretania Street and Queen Emma Street, exuding a flair of sophistication. Walk inside and it simply feels chic. The lobby exudes a clean, fresh look that you’re proud to call home.

Each one, two, and three-bedroom residence has been meticulously designed to provide a mood that blends the comfortable and the contemporary. No matter which floor plan you choose, your entry welcomes you in, and flawlessly balanced features all flow from there. Well-appointed kitchens with granite counters and designer details seduce you. Viking appliances and high-end kitchen finishes make the kitchen one of the rooms where friends seem to congregate. This “spare no expense” attitude is apparent in every room at Capitol Place. Bathrooms feature marble counters, while living rooms and bedrooms have the little extras that give them a marvelous understated style.

As night falls, the Honolulu city lights across town take over. Every residence is pre-wired and cable-ready for a relaxing evening at home, should you choose. And sleep comes easy, knowing that you wonմ face a long commute in traffic the next morning.

In our previous blog post we explained how homeownership may not be as hard as you may think - especially if you are eligible for a VA Loan. We touched on a few benefits of VA Loans which include 100% financing as well as reduced closing costs. We also explained that current military personnel have an added benefit in that they already receive a monthly housing allowance to pay or subsidize their rent or mortgage payments.

Today HawaiiVALoans.com is introducing a new segment to our blog called “What Can Your Housing Allowance Buy?”. With this, we will feature a specific property for sale to give examples of how much buying power one would have by just using their monthly housing allowance to cover their mortgage expense (with no down payment).

Mahi Ko at Waikele - $349,000

94-529 Lumiaina Street, #D101
Waipahu, HI 96797

Living Area: 830 s.f.
Lanai (Patio): 92 s.f.
Bedrooms: Two
Bathroom: Two
Parking: Two
MLS #: 2810757

Description: Exceptional Value: GROUND floor, CORNER unit with fenced large yard and patio-great area for BBQ. Ready-to-move in condition freshly painted, with laminate flooring and w-w carpet. Renovated kitchen w/new granite counter top, cabinets, refrigerator and washer- dryer, microwave oven. Hall bathroom: new vanity, toilet, ceramic flooring. Updated light fixtures in living room & kitchen.

[Read More]

Our main goal here at HawaiiVALoans.com is to educate current military personnel and Veterans about their VA Loan Benefits. When you look at the benefits that the VA Home Loan Program provides compared to doing a conventional mortgage - you truly realize how advantageous it is to be a VA eligible home buyer.

In addition to these benefits, most current military personnel have another great advantage in that they currently receive a monthly housing allowance to pay or subsidize their housing payments. This housing allowance, also known as BAH, can range from $1491 - $3419 per month depending on rank and whether this person has dependents or not.

[Read More]

In our last post I wrote about how on conventional mortgages, a borrower not putting at least 20% down is required to pay for Private Mortgage Insurance (PMI). The cost of PMI will increase the borrowers monthly payments an average pf $150 - $400 per month depending on the loan amount and down payment.

We also discussed how with VA loans, the home buyer is not required to pay for this PMI since the VA Department serves as the insurance backer on these loans. So how does the VA Department insure all these VA loans without being a burden on the US taxpayers? They do this by charging a VA Funding Fee.

The VA Funding Fee is a one time upfront cost that the VA Department charges the borrower on every VA transaction. This fee is collected and pooled into a fund that is used to repay any losses (up to 25% of the original loan amount) that the mortgage lender has incurred when VA loan goes into default and lender has to either short sell or foreclose on the property.

How Much Does the VA Funding Fee Cost?

The cost of the VA Funding Fee depends on three main factors:

• Whether the borrower is/was a member of the regular military (Army, Navy, Marines, Air Force, etc.) or if they were/are a member of the Reserves or National Guard.

• If the borrower is a first-time user of the VA Home Loan Program or a repeat user.

• The amount of down payment (if any).

[Read More]