Why don't veterans need to pay mortgage insurance what does this mean

No VA loans have mortgage insurance, not even when you are financing 100%. This is one of the massive benefits of a VA home loans, especially since the interest rates are among the lowest too.

One of the benefits of being a veteran is VA financing.. When it comes to mortgage financing, lenders require you pay mortgage insurance if you are financing more than 80% of the properties value.. Mortgage insurance is a policy that you pay but the beneficiary is the lender.. in the event that you default on your loan, and the lender has to foreclose, then the insurance would pay the lender a portion of their loss up to a determined percentage based on the type of policy required/selected.. but with VA financing, the federal government is guaranteeing the loan for the veteran, so they don't' require MI.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

It is one of the benefits of having a VA loan. Any loan that is over 80% Loan to value requires mortgage insurance. VA loans are backed by the government so if they are defaulted on the government will be on the hook.