The nation’s struggling housing market could be seeing improvement, thanks to military Veterans. Approximately 2.8 million Iraq and Afghanistan Veterans may be able to take advantage of VA mortgages and special discounts in order to achieve home ownership. VA home loans are already nearing a twenty year high.
There are currently over 2 million VA loans, with total balances reaching over $370 billion. Despite popular belief, the VA doesn’t loan money to Veterans. VA loans are actually loans from private lenders that are secured through the VA. The federal government reduces the risk for lenders by covering up to 25 percent of the loan amount if the loan is defaulted on. These loans have already accounted for 8.1% of mortgages made in the first quarter of 2014. This number is up from 6.9% in 2013.
In 1944, President Franklin Roosevelt signed the Servicemen’s Readjustment Act, also known as the G.I. Bill of Rights, into law. The law included benefits for military Veterans such as college tuition assistance, Veteran mortgages, business loans and unemployment benefits. VA mortgage benefits are available to active duty service members, reservists, Veterans, as well as their surviving spouses.
More and more active-duty service members and younger Veterans are using their VA mortgage benefits to buy homes. This may be because the cost to rent is getting more expensive, and the risks of homeownership now seem less dangerous.
Service members and Veterans are also using additional resources in their real estate ventures. Homes for Heroes provides additional savings to service members and Veterans by offering rebates, discounts and other exclusive deals. By using a Homes for Heroes affiliate for your real estate business, you enjoy significant savings while contributing resources for the operation and management of the Homes for Heroes Foundation. The foundation is a 501 (c) 3 that provides ***or*** coordinates financial assistance and housing resources to our Nation’s Heroes such as Military personnel, police/peace officers, firefighters and first responders in need.
Military Connection proudly serves those who serve in the Army, Navy, Air Force, Marines, Coast Guard, Guard &,amp,amp, Reserve, Veterans and their Families. We are the go to site for Veteran Employment and information on Veteran education. Militaryconnection.com provides Veterans with and Directory of Employers, a Job Board, information on the Post-9/11 GI Bill, and a blog that offers Veterans boundless information. Be sure to visit Militaryconnection.com, the go to site.
Military Connection: VA Loans Boost Housing Market: By Debbie Gregory