Saturday, May 26 , 2018, 7:29 pm | Fair 68º

 
 
 

Ed Fuller: Veterans Home Loan Program Marks 70 Years

Ed Fuller
Ed Fuller

This month in 1944, President Franklin D. Roosevelt signed into law the G.I. Bill of Rights providing home mortgage guarantees for returning veterans of World War II.

Over the years, as this program evolved to maintain relevance, it has allowed millions of our armed service members to achieve the dream of home ownership. In Santa Barbara, the program has had only intermittent viability as the loan limits much of the time were too low to be meaningful.

But today, with the inclusion of lower-priced condominiums and a typical loan limit of $643,750, eligible veterans can enjoy the many advantages of this type of financing.

The special attributes of these loans include a 0 percent downpayment on loans up to $643,750 in Santa Barbara County, slightly lower interest rates, lower credit score requirements — as low as 620, and lower income requirements to qualify. Almost every veteran, depending on his or her time and type of service, is eligible as well as National Guard and Reserve members.

Higher loans can be obtained if the veteran pays 25 percent of the difference between the purchase price and the maximum 0 percent down loan amount of $643,750.

To illustrate, a sale price of $1,143,750 would be $500,000 above the 0 percent down loan amount of $643,750. In this instance, a veteran would add $125,000 for the downpayment, 25 percent of the difference, but only about 11 percent of the total purchase price.

If you're a veteran who would like more information, be sure to ask a Realtor, who will provide guidance.

Ed Fuller is a real estate broker with San Roque Realty Inc. and president of the Santa Barbara Association of Realtors. Contact him at [email protected] or 805.687.1551. The opinions expressed are his own.

Support Noozhawk Today

You are an important ally in our mission to deliver clear, objective, high-quality professional news reporting for Santa Barbara, Goleta and the rest of Santa Barbara County. Join the Hawks Club today to help keep Noozhawk soaring.

We offer four membership levels: $5 a month, $10 a month, $25 a month or $1 a week. Payments can be made through PayPal below, or click here for information on recurring credit-card payments.

Thank you for your vital support.

Become a Supporter

Enter your email
Select your membership level
×

Payment Information

You are purchasing:

Payment Method

Pay by Credit Card:

Mastercard, Visa, American Express, Discover

Pay with Apple Pay or Google Pay:

Noozhawk partners with Stripe to provide secure invoicing and payments processing.

  • Ask
  • Vote
  • Investigate
  • Answer

Noozhawk Asks: What’s Your Question?

Welcome to Noozhawk Asks, a new feature in which you ask the questions, you help decide what Noozhawk investigates, and you work with us to find the answers.

Here’s how it works: You share your questions with us in the nearby box. In some cases, we may work with you to find the answers. In others, we may ask you to vote on your top choices to help us narrow the scope. And we’ll be regularly asking you for your feedback on a specific issue or topic.

We also expect to work together with the reader who asked the winning questions to find the answer together. Noozhawk’s objective is to come at questions from a place of curiosity and openness, and we believe a transparent collaboration is the key to achieve it.

The results of our investigation will be published here in this Noozhawk Asks section. Once or twice a month, we plan to do a review of what was asked and answered.

Thanks for asking!

Click Here to Get Started >

Reader Comments

Noozhawk is no longer accepting reader comments on our articles. Click here for the announcement. Readers are instead invited to submit letters to the editor by emailing them to [email protected]. Please provide your full name and community, as well as contact information for verification purposes only.

Daily Noozhawk

Subscribe to Noozhawk's A.M. Report, our free e-Bulletin sent out every day at 4:15 a.m. with Noozhawk's top stories, hand-picked by the editors.

Sign Up Now >