If you would like to keep track of the recent developments in the financial sector, then you may be aware of the recent announcement by the Department of Veteran Affairs (VA). According to recent news, the VA is adopting the ‘Making Home Affordable Program’ for mortgage loans. The program has been designed to help home loan borrowers get loan modification programs in case they don’t have any other home retention options.
VA loans have helped many veterans to own their dream homes without any hassles. Especially, in a state like Texas, there are mortgage programs that have been specifically designed for the state. For example, VA home loans in Texas help veterans of the American armed forces and their spouses to get long-term credit. This loan program provides them great assistance in buying homes when they are not able to get private financing. The best part about VA home loans is that there is no down payment required.
History of VA Loans
The VA loan program was introduced way back in 1944. The objective was to enable veterans returning from World War II to get an opportunity to make a secure and stable financial future. It was a part of the ‘Servicemen’s Readjustment Act’, which was also known as the ‘G.I. Bill’. Under this act, VA loans can guarantee as well as insure lenders, and they can also provide great benefits to veterans.
The termination dates to apply for VA housing loans were removed by the Veterans Housing Act in 1970. In 1978, the ‘Veterans Housing Benefits Improvement Act’ increased the benefits that were available to American veterans. In 2002, the Department of Veteran Affairs announced that more than 20 million VA home loans have been insured by the government.
Why Opt For a VA Loan?
There are many advantages to opting for VA loans. In fact, it has also been said that there can be no better loan than a VA loan! This is particularly beneficial for people who want to pay little or no down payment for the loan that they take out. The loan program has attractive interest rates and borrowers need not make huge down payments. Over the years, many military veterans have taken advantage of this beneficial loan program to build a dream home for their families at cost-effective prices.