Ep. 5 VA Lending with Melanie Aguto

Welcome to the "Militarily Speaking" podcast with Tom McLean and Jodi Vickery.In this episode of “Militarily Speaking,” Tom and Jodi talk with VA Loan specialist Melanie Aguto. They discuss the different aspects of obtaining a VA Loan or VA Mortgage, challenges and rewarding aspects of being a military family, and how to make PCS moves as easier. Tom and Jodi also play the next round of Military Minute and what charity they sent a donation to from the last episode.“Militarily Speaking” is a podcast produced by Armed Forces Bank that is dedicated to the military lifestyle and all the things that makes military community who they are. Episode 5: VA Lending with Melanie AgutoVA LendingJodi begins by welcoming Melanie Aguto to the show, a VA Loans Specialist with over 27 years of experience, who is one of the top producing Loan Officers at Armed Forces Bank since joining the team in 2002. Tom then asks Mel to describe the VA certification process for the listeners.Melanie says it starts with assisting veterans and surviving spouses with applying for their VA Certificate of Eligibility (COE).This COE also helps determine their eligibility for a home loan with the VA Loan process, as well as if the Veteran is in receipt of any VA disability income.She notes that there is no cost to go through this as part of their free pre-qualification process that Armed Forces Bank offers.Jodi asks what kind of programs Armed Forces Bank offers mortgage borrowers in particular to veterans.Melanie says Armed Forces Bank has VA, FHA, Conventional, and HERO programs on primary homes, adding that they also can help with vacation homes, investment properties, home purchases, and refinancing.In particular to Veterans, Melanie adds, they have a VA Home Loan Program, which provides 100% financing and zero down payment requirements for home purchases or refinancing options, all with zero lender fees to Veterans.Melanie continues listing other benefits including competitive rates and home buying education as part of the process as well. PCS Moving in Military CareerTom points out that Melanie has moved 14 times over the course of her career as a military spouse, and asks her what guidance she has to those making a PCS move when assessing the home buying process.Melanie says the key to buying a home during a PCS move is preparation in advance of the move itself.From being educated on the process and being comfortable with taking those steps, to talking to your loan officer in advance and becoming pre-qualified are the first steps of being prepared for the move.There are multiple other factors that come into consideration when considering a move, which Melanie lists out.Jodi asks what are some recommendations she has on selecting a good, reputable real estate agent or company.Melanie says that there are many key factors, including interviewing agents ahead of time, to reaching out to your trusted sources, are all great resources.The key factor is finding someone you connect with and that you’re comfortable with can really help ease the home buying process as well.Tom then jokingly asks Melanie to list out all of her 14 moves, to which she happily obliges.Aspects of a Lifetime in the MilitaryTom asks Melanie, who was a military brat and has been a military spouse of over 20 years, what challenges and rewarding aspects have there been in her lifetime in the military.Melanie says as far as challenging aspects go, waiting on PCS orders and all of the planning, preparation, and timeline tracking that goes into it can be a challenge for families.She continues by saying how rewarding it is to become such a resilient family, and be a part of such an amazing military network.She says being a part of Armed Forces Bank and being able to relate to the families she is helping on the other side of a PCS move has been incredibly rewarding as well.Fixed Rate versus Adjustable Rate MortgagesIn today’s environment, Jodi notes, that loan rates for 30-year fixed rate have even been below 3%, however now we are in a rapidly rising interest rate. She asks Melanie what advice she has about that volatility, how to select the right product to meet their needs, and provide a little perspective about where rates have been versus where they are at today.Melanie says that we are in an increasing rate environment, so it is important to work closely with your loan officer to ensure your payment comfort level is really where you want it to be.She continues by saying instead of heavily focusing on the rate, focus on the actual payment amount and what level you are personally comfortable with.Jodi notes that she is gladly going to be adding “payment comfort level” to her vocabulary she uses when looking at large purchases such as a house.Tom asks Melanie if due to the increasing rate environment she finds that more people are interested in an Adjustable Rate Mortgage (ARM), or if those conversations are coming up more often, and if she has any guidance on adjustable versus fixed rate mortgages.Melanie says that as interest rates increase, they are getting more inquiries about adjustable rate mortgages.She continues by noting that most customers are still choosing the fixed rate option and locking in that rate for a peace of mind, as well as because the fixed rate are more attractive than the adjustable rate in the current market.Tom notes that historically, we are in historic lows for mortgage rates, which he notes might mean that adjustable rates might go up later.Melanie adds that how long a person is expecting to live in a home will play into what interest rate option someone might choose, saying that your loan officer will walk through that and all of the other variables with you.Tom notes that getting a mortgage can be overwhelming, intimidating, and even confusing at times. He asks Melanie if she can provide some assurances to the listeners to make the home buying process as painless and easy as possible.Melanie says she agrees that the mortgage process can definitely be overwhelming and confusing.She notes that her goal at Armed Forces Bank is to ease and simplify the process as much as they can, helping people navigate their way through the process each step of the way.She continues saying that it is their responsibility to clearly explain all aspects of the loan process so it is not overwhelming, but rather an exciting experience of getting into your new home.Tom says that people will definitely want to learn more and ask questions to Mel, which they can do through www.afbank.comMilitary MinuteJodi introduces the Military Minute segment of the show, beginning by closing out last episode’s Military Minute.Last episode’s Military Minute: Who said the following, “Feeling gratitude and not expressing it is like wrapping a present and not giving it.”Answer: William Arthur WardThis week’s Military Minute question: How long must a Coast Guard vessel be for it to be deemed a “cutter”?Watch for Facebook and Instagram posts about this episode.Answer with the correct answer and you plus a charity of your choice can each win $50.Join us to hear how to better navigate your finances, military life, and the crossroads of the two.Visit www.afbank.com