Home loan benefits expanded for veteransmortgagepress.comVeterans Benefits Improvement Act of 2004, VA loans, loan amount increase
With the recent passing of the Veterans Benefits Improvement Act
of 2004, veterans will now be able to obtain larger VA loans with
no money down. The act, signed into law by President Bush on Dec.
10, 2004, raises the maximum loan amount, with no money down, from
$240,000 to $359,650.
The increase in the VA loan guaranty amount comes at an
appropriate time for the nation's veterans. While national home
prices have appreciated nearly 75 percent since 1995, the VA
guaranty amount has only experienced one increase of approximately
18 percent since that time. The U.S. national average purchase
price for a single-family home reached $264,540 in October 2004,
according to figures released by the Federal Housing Finance Board.
This figure is more than 10 percent higher than the maximum that
most lenders were previously willing to provide for a VA loan.
For more information, visit www.va.gov.