VA Loan / Veteran Mortgage News

The Veterans Benefits Act of 2003

1. The fee for an initial loan, with no downpayment, closed on or after January 1, 2004 and up until September 20, 2004, is 2.2 percent for a veteran of active duty and 2.4 percent for persons qualifying solely on Reserve or Guard Duty.
   
   
2. The fee for an initial loan, with no downpayment, closed on or after October 1, 2004 and through September 30, 2011, is 2.15 percent for a veteran of active duty and 2.4 percent for persons qualifying solely on Reserve or Guard Duty.
   
   
3. The fee for a subsequent loan, with no downpayment, for Veterans of Active Duty and Reserve / Guard, increases to 3.3 percent for loans closed on or after January 1, 2004 through September 30, 2011.
   
   
4. The funding fee for a loan closed on or after January 1, 2004 through October 1, 2001, with a downpayment of greater than 5 but less than 10 percent is 1.5 percent for a Veteran of active duty and 1.75 percent for persons qualifying solely on Reserve or Guard duty.
   
   
5. The funding fee for a loan closed on or after January 1, 2004 through October 1, 2001, with a downpayment of greater than 10 percent is 1.25 percent for a Veteran of active duty and 1.5 percent for persons qualifying solely on Reserve or Guard duty.

New Veteran Newspaper Launched

Today's Real Estate Outlook

• Demand for housing is high. Recent immigrants, the large group of baby boomers now at the height of their earning and homeownership years, and the new households being formed by the boomers' children are combining to keep sales strong.
• Low mortgage rates and innovative loan products are allowing more of these consumers to make the purchase they want. Reduced down payments, and the relaxation of traditional lending guidelines have opened up the possibility of homeownership to millions who in the past would've been lifelong renters.
• Healthy increases in home prices - averaging more than six percent annually for the past three years - keep encouraging more Americans to put their funds into real estate. Ownership provides families with tax benefits, lifestyle enhancements, and the opportunity to build wealth.
• Growth is accelerating in the U.S. economy, after a weak performance since the 2001 recession. But 2004 should see vibrant growth of more than four percent, economists say.
• Rates will remain attractive. Continued low inflation, even with the economy picking up, will keep mortgage rates near previous low points. Additionally, the Federal Reserve won't begin pushing up short-term rates until economic growth is well established, and new jobs are being generated. Rates on 30-year home loans should stay below seven percent this year.
• Technological advances have made it easier to purchase homes. Many buyers narrow their search for a house by looking on the Internet first.

The GI Bill Can Change Your Future.

Homes Keep Adding More

• Close to one-fourth of the expense pays for the land and site preparation.
• Almost 55 percent goes to home construction.
• About 12 percent covers the builder's marketing, financing, and overhead costs.
• An average of nine percent is the builder's profit.

New Homes are Larger

• From a single console you can control everything in your house. You can turn off the light you left on in the garage, let someone in the front door, and turn on the alarm system -- as well as change channels on your TV.
• Digital cameras in your home can be connected to the Internet, and you can view those images on a mobile phone. This technology lets you watch an elderly relative when you're not there, for instance.
• Appliances also are going online. A call on your cell phone can turn on the oven or adjust your thermostat. New refrigerators keep tabs on their contents, and can e-mail you at work if your children drink all the milk after school. Your fridge also can record video messages for other family members. That's a step up from attaching notes with a magnet!