VA Changes Loan Limit Rulebook — and It's a Real Score!
Finally, truly good news for Veterans: Effective Jan. 1, 2020, there are no more VA home loan limits . Veterans can borrow as much as they can afford without having to make a down payment. Previously, Veterans needed to adhere to their county-of-residence loan amounts, and if the home purchase was higher than the limit, a down payment was required.
Not anymore!
This is great news, particularly for Veterans living in the nation’s pricier housing markets, like Oakland, San Francisco, and the general Bay Area, where $1 million homes are a dime a dozen. Feeling penalized by astronomical housing costs, many Californians are changing their game plans and moving to Nevada, largely due to real estate prices. Nevada’s real estate is reasonably priced; California’s is not.
Californians also are moving to Nevada because it is the new home of Oakland Raiders, uh, I mean the Las Vegas Raiders. As of this writing, the roof is being put on the new Allegiant Stadium, where the Raiders and UNLV will play their home games. The Raiders are looking to an inaugural kickoff in August.
Moving to a new house (or stadium) offers a multitude of opportunities. For example, my friend Darius is a recent California-to-Nevada transplant. Since his move, he has started Bulldogs 4 Veterans, a nonprofit helping Disabled Veterans with companionship, PTSD, and so much more. (See more about Darius here.) Relocating, even across state lines, doesn’t need to be difficult. Call me, (800) 886-1193, and I’ll tell you how easy Raiders Relocators can make it be. I promise conversation only, no cost, no obligation.
According to my colleague Dan Davis of Veterans United Home Loans, a new record of 384,495 VA home loans was set in 2019. His company set a personal best of 53,328 loans in 2019. I’m looking forward to reading the numbers for 2020 with the new VA no-limits loans. You can read more loan stats here.
What’s the catch, you ask? Only that Veterans must meet eligibility requirements, which are fairly straightforward, such as the following:
Home must be for the Veteran’s occupancy
Satisfactory credit
Sufficient income
Valid Certificate of Eligibility (COE)
For specifics, especially on the COE, read this page from the VA’s Web site.
According to the Veterans Administration, VA home loans can be used to buy a home or a condominium unit in a VA-approved project; build a home; simultaneously purchase and improve a home; improve a home by installing energy-related features or making energy efficient improvements; buy a manufactured home and/or lot; refinance an existing guaranteed or direct loan for the purpose of a lower interest rate; and refinance an existing mortgage loan or other indebtedness secured by a lien of record on a residence owned and occupied by the Veteran as a home.
Sorry, loans can’t be used to start a nonprofit, whether involving bulldogs or not. Call me, (800) 886-1193, and I’ll find out what I can if you’d like help with that.
Is there a real estate- or relocation-related topic you would like to discuss in this blog? Let us know at info@raidersrelocators.com. We look forward to hearing from you.
