| Mortgage Terms |
Terms starting with the letter V
VA Loan (Veterans Affairs) - See
Department of Veterans Affairs
These loans are made by a lender, such as a mortgage company, savings
and loan or bank. VA's guaranty on the loan protects the lender
against loss if the payments are not made, and is intended to encourage
lenders to offer veterans loans with more favorable terms. The
amount of guaranty on the loan depends on the loan amount and whether
the veteran used some entitlement previously. With the current
maximum guaranty, a veteran who hasn't previously used the benefit may
be able to obtain a VA loan up to $240,000 depending on the borrower's
income level and the appraised value of the property. The local
VA office can provide more details on guaranty and entitlement amounts.
Formerly referred to as G.I. guaranteed mortgage
V.A.
Mortgage Funding Fee
A premium assed to the VA borrower in lieu of mortgage insurance.
First time VA borrowers have a 3% funding fee included in their loan.
When the VA borrower sells their home and uses their VA rights on a
new home, the funding fee is 2%. VA borrowers refinancing their
home, have a half percent funding fee in their mortgage.
Disabled Veterans are not burdened with the funding fee.
Variable
Rate Mortgage (VRM)
See adjustable rate mortgage
Verification of Deposit (VOD)
A document signed by the borrower's financial institution verifying
the status and balance of his/her financial accounts.
Verification of Employment (VOE)
A document signed by the borrower's employer verifying his/her employment,
position, and salary.
Veterans
Affairs - See Department of Veterans Affairs
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