Just curious if anyone on here has done a VA home loan refinance? We have been offered a streamline refinance that sounds really good I just wonder if anyone else has the loan and any feedback....I used to work in the mortgage industry and I've never heard of anything like it, it's only available to veterans..
It's called a VA Hybrid adjustable rate mortgage. So basically the first 3 years you are at a fixe 3% rate then every year after that it adjusts, it can't go up more than 1% per year and will never go higher than 8%. In the history of the loan the rate has never gone up 3 years in a row and right now the rate is at just over 2%. The thing that interested me and that id never heard of before is that each year that it adjusts it goes off of the actual balance of the loan (most loans the interest is based off the original loan balance). So what this means for us is for the first 3 years our mtg pmt is $210 less per month....and even after that if it adjusts up every year, since our balance is going down, our payments will still be less than what we pay now.....I have always been against adjustable rate mtgs but this one sounds kind of appealing, especially since it will help us to pay off some of our other debt
Just curious if anyone else has heard of it and/or have this loan?