Veterans Can Take Advantage of VA Loans
Posted by Laura Nelson on November 20, 2009
Linda Scott, VA Loan Specialist
November is a month to reflect and give thanks. On Veteran’s Day, November 11th, we thanked our Veterans for their sacrifices which have kept our country free.
Our Veterans receive home loan benefits through the GI Bill originally passed by President Franklin Delano Roosevelt in 1944. Through the GI Bill, Veterans are able to secure federally guaranteed mortgage loans with no down payment. This feature has helped many Veterans and their families turn the dream of home ownership into a reality.
VA loans will guarantee a maximum of 25% of a home loan amount up to $104,250 to the lender, which limits the maximum loan amount to $417,000. Generally the reasonable value of the property, or the purchase price, whichever is less, plus the funding fee may be borrowed. Veterans are not automatically eligible, so they must meet the program’s qualifications.
VA guaranteed loans are made by private lenders, such as banks and mortgage companies, to eligible veterans for the purchase of a home, which must be used for their own personal occupancy. Banks and mortgage companies will pre-qualify the veteran and determine his/her eligibility for the program.
Some of the highlights of the program are:
• No down payment
• VA funding fee can be financed
• Seller can contribute up to 4% towards closing costs
• Competitive interest rates / 30 year fixed rates
Glen Ellyn Bank and Trust participates in the VA Home Loan Programs. Interested Veterans please call Linda Scott, VA Loan Specialist, at (630) 588-4079. Glen Ellyn Bank and Trust is located at 500 Roosevelt Rd., Glen Ellyn.
Tags:Local Business, Money
