The rates are changing constantly. Are you set on the VA loan? I work with a few lenders in the Rockford area that have many programs to choose from. I would check all of your options available, according to your credit score, employment history, debt ratios, etc.
If you have any further questions, please feel free to call me!
Keller Williams Realty
That rate does seem a little higher than the average VA rates are what I'm looking at today. I would call around and compare your VA rates and closing costs with 3 different banks, credit union or mortgage brokers. Get 3 different goodfaith estimates and compare rates and cloisg costs. But yes that rate Is a little higher than what I am seeing as of today. But it's the the ballpark.
As for the rate being higher because the loan is harder to do, that is flatly false. if you are working with a mortgage broker they can control the rate to make a yeild spread premium (YSP) off of the back end. Essentially increasing the base rate of the loan to earn more money. Usually its .25% for 1 percent of the loan amount.
I would go to a bank that offers VA loans and get a GFE their. I would try getting them in three different places. Let me know If I can help out further.