VA secretary announces 18 millionth home loan guaranty

  • Published
One of the most widely used veterans benefits in America reached a major milestone May 13 when Secretary of Veterans Affairs R. James Nicholson announced that an Operation Iraqi Freedom veteran from Texas was the recipient of the 18-millionth home loan guaranteed by the Department of Veterans Affairs. 

"VA's home loan guaranty program has been helping veterans purchase homes for more than 60 years," Secretary Nicholson said. "This VA no-down payment loan program reflects our nation's appreciation of the brave men and women who put on our country's uniforms in defense of freedom and our way of life. It also highlights VA's contribution to turning the United States into a nation of homeowners." 

The 18 millionth loan was marked May 13 at the National Association of Home Builders' Annual Spring Conference in Washington. 

Since 1944 when President Franklin Roosevelt signed the Servicemen's Readjustment Act into law, the GI Bill, as it is popularly known, has secured more than $892 billion of financing for veterans' and service members' home loans. In fiscal 2005 alone, VA guaranteed more than 165,000 loans for mortgages valued at more than $24.9 billion.
VA-guaranteed home loans are made by banks and mortgage companies to veterans, service members and eligible reservists. With VA backing a portion of the loan, veterans can receive a competitive interest rate without a down payment, making it easier to buy a home. On Jan. 1, 2006, the VA loan guaranty limit for no-down payment loans was increased to $417,000. The previous ceiling was $359,650. 

More information about VA home loan benefits is available on the Web at http://www.homeloans.va.gov or by calling (800) 827-1000.