Information that a Prodigy Lending’s loan officer in Cresson, Texas



The Prodigy Lending has a wide variety of loan programs one can choose from the Veteran Affairs is one of them. This is a loan program eligible to military members and veterans, it has advantages and disadvantages, one has to weigh the pros and cons this way he or she can determine whether this loan program is good for them.

Pros of VA loans


  • It offers 100% financing


When looking for a loan program, there are some key factors a client looks at to see whether they can work with it. For VA home loans they offer 100% financing which means that there is no down payment needed, this depends whether the client wants to pay down payment or not. When a client pays for a down payment it lowers their monthly loan pay.

The VA program is flexible since one can choose whether to pay down payment or not. This enables clients to save up some money.


  • Lower mortgage rates


A borrower goes for a loan program that offers low mortgage rates since when a certain mortgage rate is high it means that the monthly loan pay will also be high. Unlike other loan programs, the VA loan program offers consistent low mortgage rates.


  • No Premium Mortgage Insurance


Other loan programs that are the Federal Housing Administration (FHA) and Conventional loan programs require Premium Mortgage Insurance (PMI) fee, but for the VA loans, there is no PMI fee needed this is an advantage since the money is spent on other costs.


  • Offers refinancing option


The VA programs offer a mortgage refinancing option which is an added advantage since if the customer is stuck in terms of cash, they can refinance their mortgage. This loan program offers two types of refinancing options the Cash-out option and (IRRRL) option.

Cons of VA home loans


  • Home appraisal


Before your loan is approved by the mortgage expert, they need to inspect your soon to be home and find out whether your home has met certain standards and has been correctly priced. This process can slow down the whole loan process, with the help of a home agent the process is made easier since he or she takes you through what is to be done.


  • The VA home loans funding fee


One of the closing costs in the VA home loans is the funding fee which has to be paid. The funding fee changes depending on how many times the client has used the VA loans program. If a client has no money to pay the funding fee, it is paid by the mortgage they are applying for; the problem with that option is that the monthly loan payment then increases.

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