May 11, 2006
Media contact: Jeff Schrade (202) 224-9093

(Washington, DC) Good news often goes unnoticed, but today U.S. Senator Larry Craig praised a federal program for veterans that began before he was even born.

"Today Secretary Jim Nicholson announced that a veteran who served in Iraq is the 18 millionth recipient of a home loan guaranteed by the VA. That's simply phenomenal. This is clearly a program that is serving veterans well," said Craig, chairman of the U.S. Senate Committee on Veterans' Affairs.

Since 1944 when President Franklin Roosevelt signed the GI Bill, millions of veterans have been able to obtain more than $892 billion of VA-backed home loan financing. Last year the VA guaranteed more than 165,000 loans for mortgages valued at more than $24.9 billion.

In Chairman Craig's home state of Idaho, in the last three years more than 8,400 VA-backed loans have been granted, worth over $1.1 billion.

"That type of economic stimulus helps our economy. More importantly, it means veterans and their families can have roofs over their heads, homes to call their own, and foundations upon which to build up personal wealth and raise their families," Craig said.

On Jan. 1, 2006, the VA loan guaranty limit for no-down payment loans was increased to $417,000. The previous ceiling was $359,650.

VA-guaranteed home loans are made by banks and mortgage companies to veterans, servicemembers, eligible reservists and eligible survivors. With VA backing a portion of the loan, veterans can receive a competitive interest rate without a down payment, making it easier to buy a home. It also eliminates the need for veterans to pay costly mortgage insurance premiums when making monthly loan payments.

More information about VA home loan benefits is available on the Web at http://www.homeloans.va.gov or by calling 1-800-827-1000.

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