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VA Has Increased Maximum Loan-To-Value and Increased Loan Sizes

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Mortgage and Lending with Flagship Mortgage Corporation

VA Has Increased Maximum Loan-To-Value and Increased Loan Sizes

 

It's a one, two punch designed to knock out foreclosures! The VA has increased both the maximum Loan-To-Value limits and maximum loan sizes on home mortgages.

 

First, the maximum Loan-To-Value limit has been raised from 90 percent to 100 percent.  That means eligible Veterans and Military Spouses can tap into all of the equity in their home.  The VA Funding Fee will go on top of the mortgage so the actual Loan-To-Value will be something more like 102%.

 

Second, the maximum VA home mortgage limit was increased from $144,000 up to $729,750 (even higher for AK, HI and Virgin Islands) in some areas. 

 

Congress passed these two new benefits in the Veterans' Benefits Improvement Act of 2008 in October.  These new benefits combine to make it possible for more Veteran home owners in subprime loans refinance to a new, lower interest rate, less risky, VA home mortgage.

Comments (1)

Kenneth Cole
Weichert Realtors Appleseed Group, 2043 Richmond Ave. S.I.N.Y. 10314. office phone 718-698-9797, Appleseedhomes.com... - Staten Island, NY
NYS Licensed Real Estate Salesperson

Great news for our Vets.  Thanks.

Dec 09, 2008 09:43 PM