VA Loans

One of my favorite loans to service is the VA Loan because it means I have the opportunity to help those who put their lives on the line for all of us.

VA stands for the United States Veterans Administration. In order to quality for a VA Loan, you have to be a veteran, but this loan is by far, the best loan product available. Every veteran who is honorably discharged and did a certain number of years of service, they've got an entitlement amount. That calculation tells us how much they can and can't borrow. The VA Loan is also available to qualified spouses of veterans.

It offers a hundred percent financing.* The VA also dictates to us, as the lender, what costs are allowable and what costs are not allowable. For instance, the veteran cannot under any circumstances, pay for a termite inspection. Innovative Mortgage Services waives all of our origination fees on VA Loans, so that's a savings of about another $1,300.

The primary benefit to the VA loan over the others, is mortgage insurance. On your FHA loan you have mortgage insurance. On your USDA loan you have mortgage insurance. On your conventional you have mortgage insurance. If you don't put down 20%, you've got to have mortgage insurance.

A VA loan doesn't charge any mortgage insurance. On a USDA loan, that mortgage insurance is .35% of the loan balance each month. On a FHA loan it's .85%. On a conventional loan, it's risk-based. They look at your credit score. You're talking a possibly a couple hundred dollars a month difference. And that's a savings of a couple hundred dollars a month that can go to other expenses.

VA Loans are designed primarily for primary residences. But if there are extenuating circumstances, like if you’ve moved from one side of the country to another side of the country, you can do what’s called a secondary; and still be eligible for a VA loan. You can even do a refinancing with a VA Loan.

Are you planning a move to Tullahoma Air Force Base or another local military site? To see how much you can finance with a VA Loan, get in touch with me today to get started.

Manchester Mortgage Broker and Mortgage Lender Michael Daugherty headshot

Michael Daugherty
NMLS ID 1233387

*Loan approval and terms are dependent upon borrower’s credit, documented ability to repay, acceptability of collateral property, and IMS underwriting criteria. USDA and VA loan programs allow 100% financing for those who qualify. USDA loans have location restrictions and income limits. For more information on RD loans, including RD eligibility, please visit VA loans require borrowers to have VA eligibility through Veterans Administration. For more information, please visit

Zachery R.

June 2018

There’s actually a lot I could say about my experience with Michael throughout the process with buying my home. All good of course, I’ll just sum it with Michael met everything head on and no matter what made sure he gave me the best possible outcome in the end of any situation. Top notch, knowledgeable, best in the bizz. Couldn’t thank him enough in the end!

Maxie B.

May 2018

From start to finish Michael worked hard to get us approved. There were a few different obstacles along the way, but every time anything came up, big or small, he knew what to do to get us through it. Michael was as determined as we were to get this done, and he worked extremely hard for us. He isn't a 9 to 5 kind of guy. He worked nights and weekends for us, and he was available 24/7 for anything we needed. He will now be our go to guy for any future purchases. He is GREAT!

Heather R.

April 2018

I greatly appreciated Michael's expertise on all matters. He answered all our questions in a timely fashion and was always available to us if we ever needed anything. The process with this mortgage company was very painless.

Davis C.

December 2017

It was great knowing he was available to talk and walk through anything i needed help on. Any questions small or dumb he would really go through and make sure i understood. Without Michael i wouldnt be a homeowner at the age of 23. Thank you so much for all you did.

Nikita G.

November 2017

Michael made the lending side of this process very easy, from the first conversation in May to closing in November. He was very good at communicating step by step what was expected. I felt very comfortable with him and his capabilities. He remained very professional and honest throughout it all. We appreciate you!