Demand Growing For VA Mortgages

October 10, 2008

Mortgage loans guaranteed by the Department of Veterans Affairs (VA loans) are becoming more popular. This is one of the few no-down-payment type mortgages still available. About 162,000 of these loans have been guaranteed so far this year, reflecting an increase of 31 percent over the same period last year.

The loans have been streamlined by the VA, allowing veterans to apply for a loan before they obtain a VA Certificate of Eligibility. When the borrower has demonstrated he or she is eligible, lenders can quickly access the program’s Web portal and use the VA’s online Automated Certificate of Eligibility system, and receive the certificate within seconds. In most cases, the VAA can process the application within 24 hours.

Posted in Lending, Real Estate