President Bush signed the Veterans' Benefits Improvement Act of 2008, extending the enhanced VA loan limits (current $$593,750 for San Diego), through December 31, 2011.
In addition to the loan limit extension, the VA extended ARM products through September 30, 2012.
VA refinance loans are now allowed for up to 100% of the value of the home and up to the full $593,750 loan amount. This is notable inasmuch as refinance transactions couldn't exceed 90% of the value of the home and had a loan limit up to $417,00. This should help many veterans who are stuck in non-prime ARM loans about to adjust upwards.
VA loan limits were scheduled to revert back to the $417,000 limit on January 1, 2009. This legislation rescinds that schedule. FHA and conforming loan limits, scheduled to adjust downwards to $625,000, in San Diego County, on January 1, 2008, should follow the VA's lead. If that were to happen, my opinion about San Diego's 2009 real estate market outlook might be tempered.
Brian Brady is San Diego County's VA Home Loan expert. He has helped existing sailors, marines, soldiers, and airmen finance their first home by using the power of the VA-guaranteed home loan with NO MONEY DOWN.
Here's an excerpt of what one Navy family said about Brian:
I literally was one of the first loans to close this kind of VA loan and Brian was able to pull it off, which is no small task in today's market. I really can't say enough good things about him and he even put me in touch with some amazing real estate agents. If you can use your VA benefits I would suggest doing it before the end of the end of the year, when the guidelines change again. Look this mortgage guy up and give him a call, seriously! Cuz the closest next option is 3% with FHA and mostly 10% with Conventional.
While the loan limits have been extended, San Diego housing prices have fallen to their lowest level in 4-7 years. Service members have a great opportunity to own a home they can afford.
Call Brian at (858)-777-9751