VA CONFORMING LOAN AMOUNTS ON OAHU DECREASE TO $625,500

By
Real Estate Broker/Owner with Hawaii Life Real Estate Brokers RB 20262

VA Loan Amount HawaiiOn January 1, 2014 the VA conforming loan amount maximums decreased from $750K to $625,500.

What does this mean for YOU as an Oahu, Hawaii military servicemember, veteran or retiree?

VA eligible home buyers on Oahu can still get loans of up to $625,500 for zero down. In addition, VA-eligible servicemembers and veterans can still get loan amounts up to $1,000,000, however, a downpayment equal to 25% of the amount above the conforming loan limit will be required for these Jumbo VA Loans.

How does this work?

Example: On Oahu, a VA Loan (Jumbo) may be used to purchase a property costing $825,500. In this case the conforming loan limit is $625,500 and the difference is $200K. A servicemember will be required to put $50,000 down on the purchase. With a conventional loan, requiring 20%, you would be required to put down $93,625. Using a VA Loan is still has a significant benefit, as to downpayment, over a conventional loan.

Example: A servicemember may wish to purchase a home costing $1,100,000. In this scenario, the servicemember can get a VA Jumbo Loan will have to have a downpayment of 25% of $374,500 (the difference between $1M and $625,500), or $93,625 .... PLUS $100,000 because the purchase price tops the maximum jumbo loan amount of $1M for Oahu VA Loans. This totals $193,625 out of pocket. With a conventional loan of this size, a borrower would have to have at least $220,000 down.

If you have more detailed questions about purchasing a home on Oahu with a VA Loan, please call Yvonne Jaramillo Ahearn at Home Shoppe Hawaii 808-721-8088. We can also help you find a good VA Loan Officer. Just give us a call!

~ Aloha

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Yvonne Ahearn Honolulu Real Estate Kailua Realtor Honolulu Realtor Homes in HawaiiYvonne Jaramillo Ahearn, Esq. (B), REALTOR
Principal Broker, CRS, GRI, ABR, CLHMS, e-PRO
808-721-8088
HomeShoppeHawaii.com

Award-winning, Full-service Real Estate Brokerage, Serving All Areas of Oahu, including Honolulu, Kailua, Hawaii Kai, Waimanalo, Kaneohe, North Shore & the Windward Coast

Comments (2)

Chandler Real Estate Liz Harris, MBA
Liz Harris Realty - Chandler, AZ
#ChandlerRealEstateAgent

That is great for the military personel! Best of luck in Oahu!

Jan 16, 2014 05:13 AM
Yvonne Jaramillo Ahearn, Esq. (B)
Hawaii Life Real Estate Brokers - Kailua, HI
REALTOR-Broker, CRS, GRI, ABR CLHMS

Thanks Liz. Hey, you are in my home town area. My family is all over there in the Phoenix area. Hope the weather is great for you right now and that business is good. Sending warm Alohas.

Jan 16, 2014 05:15 AM

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