Recently the Department of Veterans Affairs announced it has guaranteed 20 million home loans since its home loan program was established in 1944 as part of the original GI Bill of Rights for returning World War II Veterans. The 20 millionth loan was guaranteed for a home in Woodbridge, Va., purchased by the surviving spouse of an Iraq War Veteran who passed away in 2010.
Given the current low-interest rates, the program has grown significantly in the past five years, with 71 percent more purchases and 20 times as many refinances processed in fiscal year 2012 than in 2007. There are about 1.7 million VA guaranteed home loans in existence today with a total value of $284 billion. VA has guaranteed 540,000 mortgages in 2012.
“At the center of the home loan guaranty program is the idea that Veterans and their families are a safe bet,” said Under Secretary Hickey.” As a result of their service and sacrifice, as a group, they prove to be disciplined, reliable, and honorable — traits that are ideal for this kind of national investment.”