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What is a VA Refinance?

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What is a VA Refinance?

At United Wholesale Lending we are focused on getting our borrowers the best rates and hold the highest esteem for service men and women and their families. We know big sacrifices are made to serve our country and we want to be here to support you through the home lending process.

Are you satisfied with your VA home loan terms? Looking to cash out on the equity of your home to pay for school, make improvements to your home, or pay off debt? Are you a veteran, active duty servicemember, Reserve and National Guard member, or a service member surviving spouse and interested in a home loan? As a service member, you are eligible to convert your non-VA loan into a VA-backed loan. A VA-backed cash-out refinance loan lets you replace your current loan with a new one under improved terms.

At United Wholesale Lending we are focused on getting our borrowers the best rates and hold the highest esteem for service men and women and their families. We know big sacrifices are made to serve our country and we want to be here to support you through the home lending process.


Who qualifies for a VA Refinance loan?

  • Veterans
  • Active-duty service men and women
  • Reserve and National Guard members
  • Surviving spouses


What does VA Refinance loan eligibility look like?

  • You qualify for a VA-backed home loan
  • You meet credit, employment income, and other requirements
  • You’ll live in the home you’re refinancing with the loan
  • Occupied the home at some point during the initial mortgage (homes purchased with a VA loan then converted into rental properties)

At United Wholesale Lending we are here to help servicemen and women who are interested in home financing understand how to best build their financial goals through home lending. Our VA Home Loan program provides qualified homeowners with a simple way to lower rates and decrease their monthly mortgage payments. It’s a great time for military homeowners to take advantage of the numerous benefits found in a VA refinance.

Being a military service member means great sacrifices. Taking advantage of the benefits that are within your reach, is something every vet should utilize to serve them!


Understanding Closing Costs:

You’ll want to keep closing costs in mind when refinancing your loan, as they can add up, and planning ahead is the best way to move through confidently. Make sure you understand how your new loan amount relates to the value of your home. While your lender can advise you on the costs and benefits of the transaction, you’ll want to be sure you understand what you’re getting into. One closing fee to keep in mind for a VA Refinance is the VA funding fee. This fee is a one-time payment on a VA refinance loan. This fee helps to lower the cost of the loan for U.S. taxpayers since the VA home loan program doesn’t require monthly mortgage insurance or a down payment. The VA funding fee, 0.5 percent of the loan amount, can be paid at closing or folded into the loan.


Exemptions from the VA funding fee:

  • Veteran with service-related disabilities
  • Active-duty service member awarded a Purple Heart
  • Spouse of a veteran who died in service or from a service-related cause, or was totally disabled


Here are the steps to a VA Refinance:

  1. Locate a trusted lender! United Wholesale Lending calls it “Younited to Wow.” This means we make sure every interaction is meaningful, magical, and memorable. Terms and fees vary from lender to lender, so make sure you’re working with the best!
  2. Request your Certificate of Eligibility (COE) or work with your lender to obtain it. Your COE is needed to verify that you qualify for the home loan benefit. Call us today for help request your COE
  3. Gather important documentation to provide your trusted lender. Important documentation includes: copies of paycheck stubs for the most recent 30-day period, W-2 forms for the previous 2 years, and A copy of your federal income tax returns for the previous 2 years


How to obtain a Certificate of Eligibility (COE):

  • At United Wholesale Lending we can help you obtain your CEO using the Automated Certificate of Eligibility (ACE) program.
  • Online through eBenefits.


VA Refinance Home Loan Pros and Cons


  • Access to cash
  • No mortgage insurance payment
  • Interest rates are usually lower than conventional loan rates
  • Tapping home equity can provide financial flexibility, but it’s important to weigh the risks and long-term consequences. Think carefully before spending your hard-earned equity on consumer debt, home improvement projects, or other expenses. Since your home is collateral, there is the risk that if you can’t repay the loan, you could lose your home.


Cons (risks to speak to a trusted lender about):

  • Increased mortgage rate
  • Restart the clock on your mortgage
  • Funding fee


Just like our service men and women, United Wholesale Lending’s long-term reputation is more important than short-term gains. We place a premium on creating lasting relationships above all else, and that includes helping service men and women achieve their home financing goals.

Working with a trusted lender like United Wholesale Lending will help you get the best terms and be the most empowered to make your home financing goals a reality. We believe in helping borrowers get informed, get answers, and get pre-qualified.

Stop putting off getting your questions answered! Let’s connect and find out if you’re eligible and how to apply for the Certificate of Eligibility.

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