The Department of Veteran’s Affairs (VA) announced that the maximum zero-down VA loan limit for 2010 is being reduced from $593,750 to $437,500 for San Diego County. Remember that VA loan amounts exceeding $417,000 are considered VA Jumbo loans.

Other areas, such as Los Angeles and Orange Counties, will have maximum zero-down loan limits as high as $593,750 whereas much of the San Francisco Bay Area can go up to $962,500.

A veteran can purchase a home in Pitkin County Colorado up to $1,094,625 with zero down payment. Click here for a complete list of areas with limits greater than $417,000.

Qualifying veterans can still purchase higher priced homes in San Diego County with significantly lower down payments than with Conventional financing.

Assuming the veteran has full entitlement, he/she may purchase a $450,000 home with as little as $3,125 down which is less than 0.7%. A $550,000 home can be purchased with as little as $15,625 down which is only 3.125%. Click here for examples for additional prices.

Please remember that the entire down payment can be a gift.

Whether you are a VA, FHA, or Conventional buyer, please email me: Kevin@MyCWMtg.com with any questions.