Previous posts have discussed the power of the VA loan. The ability to purchase a home with 0% down and no mortgage insurance is one of the best benefits available for active duty military and veterans looking to purchase a home. With the new Blue Water Navy Vietnam Veteran’s Act of 2019 , the loan limit, previously limiting loans to $484,350 in most areas, no longer applies in 2020 and beyond.
Does this mean you can purchase a multi-million dollar home with zero percent down? No. Standard lending practices still apply and your income and net worth still factor into your eligibility for the loan.
However, for those of you that live in more expensive housing markets, you are able to acquire a loan for more expensive homes (in California for example) without reaching the limit and paying additional money down. The bill additionally changes the VA funding fee, increasing it and making it the same for active duty and reservists. Keep that in mind when looking at purchasing a home for 2020 and beyond! Happy house hunting. $