The VA home loan is one of the greatest benefits offered by the U.S. Department of Veteran Affairs, but how did it get started? A VA loan is a loan from a qualified independent lender that’s backed by the VA. The VA doesn’t actually lend money, but instead guarantees loans made to veterans and active-duty military in case of default. The pledge gives lenders the confidence they need to lend on low- or no-down payment home purchases. Beginning in 1944, during the height of World War II, … [Read more...]
Does the VA put limits on loan amounts?
Contrary to common belief, home loans backed by the Veterans Administration (VA) have no cap on the upper range. While most eligible veterans opt for conventional loans, which have conforming loan limits, these limits are not imposed by the VA. When loan officers refer to loan limits in association with VA loans, they are most likely referring to how much someone can borrower with zero down. A VA guarantee does not mean the borrower will be approved for a loan. Who is eligible for a VA … [Read more...]
