By Virginia

VA Loans are the Housing Market’s Hot Product

These loans are growing and the program is much-improved

VA loans are what’s happening on the mortgage front – the percentage of all home loans that are VA has more than doubled in just a couple of years.

And best news, as syndicated columnist Kenneth Harney writes – these vets are having a far lower rate of default on their loans than other loan programs are. Put that down to better preparedness all the way around, and a massively better organized program than old-VA home loans.

Some bank-owned homes (foreclosures) have actually been earmarked specifically to be given away for free to returning military. Sounds great but read about it in detail in Harney’s column – it’s actually pretty competitive, with many many worthy veteran buyers all applying for the same house, and then having to prove their home-ownership skills by “renting” the house for a year or two and paying insurance, taxes, maintenance reserves in the meantime. Google Operation Homefront, the Military Warriors Support FoundationHomeStrong USA for some examples of these programs.

But overall, what a great program VA loans are now! Zero down payments, low-interest rates, no private mortgage insurance (PMI) and big picture credit underwriting.

In addition, VA loans can be used for cash-out refinances for paying off debt, funding university or making home improvements. And there is a “streamlined refinance loan” to help previous VA borrowers take advantage of the currently-better interest rates.

Do you know any veterans? Be sure to spread the word about these opportunities!