>

St Louis Real Estate Search

New Law Improves VA Loan Benefits; St. Louis Mortgage Interest Rate Update

The new legislation is titled: Honoring America’s Veterans and Caring for Camp Lejeune Families Act (H.R. 1627) and has been signed into law on August 6, 2012.

Congress expanded the scope of the legislation and specifically mandated improvements in VA home loan benefits through the VA Home Loan Guaranty Program.  Realtors and lenders will now be able to help more veterans and their families become homeowners. A portion of the new law makes VA loans available to more surviving spouses, provides easier funding fee waivers for disabled vets and helps single and dual-duty parents with occupancy hurdles.More “Doable” Occupancy for Single Parents & Couples Serving Overseas 

All VA borrowers must meet owner-occupancy requirements to qualify for the government-backed mortgage program. The new law makes it possible for single parents or married couples serving active duty away from home to satisfy the occupancy rule by having a dependent child with legal guardian or attorney-in-fact live in a house financed with a VA loan until the veteran is able to occupy the property.

Increased Eligibility for Surviving Spouses

Previously, surviving spouses became eligible for VA loans only if widowed by veterans who died on duty or from a service-connected disability. Now, a spouse who survives a veteran who dies of any cause may be eligible for VA home loan benefits as long as the veteran was a) continuously rated totally disabled for a period of time specified by the new law, and b) was eligible for VA disability compensation at the time of death.

The benefit of using a VA loan include:

  • No Down Payment
  • 100% Loan Financing
  • No Mortgage Insurance Required
  • 30-Year Fixed Rate or Arms
  • No Pre-Payment Penalty

St. Louis MORTGAGE INTEREST RATES for October 4, 2012:

  • Conventional 30-Year Fixed 3.250%/ 3.302% APR
  • Conventional 15-Year Fixed 2.75%/ 2.845% APR
  • Conventional 5/1 ARM 2.500%/ 3.243% APR
  • FHA/VA 30 Year Fixed 3.25%/ 3.302% APR
  • Jumbo 5/1 ARM 2.750%/ 2.427% APR
  • Jumbo 15 yr Fixed 3.375%/ 3.630% APR
  • Jumbo 30 yr Fixed 4.875%/ 5.125% APR

*The above mortgage rates are based upon an 80% LTV, o/o single family with FICO scores of 720.

Paramount Mortgage is a locally owned Mortgage Banker celebrating our 41st year. Great rates and programs are secondary to what is most desired in a lender relationship: Integrity, Communication and Customer Satisfaction. Be to check out our website: www.paramountmortgage.com

For more information or if you have questions on mortgage rates you may contact me by phone at my direct line, (314) 372-4319, email at rfishel@paramountmortgage.com or you can visit our company website at http://www.paramountmortgage.com.

 

Print Friendly, PDF & Email

Comments are closed.