VA Loan Benefits in California
VA Loan Benefits in California
What Veterans Need to Know | The GO Team Real Estate
VA loans are one of the strongest financing tools available — and one of the most underused. If you're an eligible veteran, active duty service member, or surviving spouse, the VA loan program can get you into a home with no down payment, no private mortgage insurance, and a competitive interest rate. In a state like California, where the barrier to homeownership is the down payment more than anything else, that combination is significant.
The Core Benefits
Zero down payment. On a $700,000 home in Southern California, you're not required to bring $24,500 or $140,000 to the table — you need zero for the down. You still have closing costs, but not the down payment. No private mortgage insurance. Conventional and FHA loans both have mortgage insurance costs when you put less than 20% down. VA doesn't. That can save you $200-$400 per month — real money over the life of a loan. Competitive interest rates. Because the VA guarantees a portion of the loan, lenders typically offer lower rates than conventional financing. Assumable loan — a VA loan can be assumed by a future buyer, which can be a genuine selling point if rates rise.
The VA Funding Fee
VA loans have a funding fee — a one-time charge paid to the VA at closing. For a first-time use with zero down, the fee is currently 2.15% of the loan amount. On a $700,000 loan, that's $15,050. It can be rolled into the loan so you don't have to pay it out of pocket. Veterans with a service-connected disability rating of 10% or higher are exempt from the funding fee entirely. If you have a disability rating and your lender doesn't ask about it, bring it up yourself.
What Makes You Eligible
Eligibility is based on service history: Veterans who served 90 consecutive days of active duty during wartime, or 181 days during peacetime. National Guard and Reserve members who have served six years or been called to active duty. Active duty service members. Surviving spouses of service members who died in the line of duty. You obtain a Certificate of Eligibility (COE) from the VA — your lender can often pull this for you directly through the VA system.
VA Loan Limits in California
There's no longer a strict VA loan limit for eligible borrowers with full entitlement. You can finance a home above the conforming loan limit with a VA loan. For California, this matters — veterans with full entitlement can use VA financing on homes in Downey, Long Beach, or wherever they're buying without worrying about artificial caps.
Questions About Your Specific Situation?
Every buyer's situation is different. Reach out to The GO Team Real Estate Services and let's figure out exactly where you stand and what's possible for you.
THE GO TEAM / REAL ESTATE SERVICES
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