San Diego, CA April 17, 2012

VA Home Loan Centers, the trusted provider of VA loan services for active duty military, veterans and their families, announced today that effective April 17th, VA Home Loan Centers will implement fee increases for the processing of condominium ID submissions.

VA Home Loan Centers announced that as of April 17th, 2012, the fee charged for document collection, processing and approval of an individual VA condo ID submission will increase from $799.00 to $995.00. Although the service is not required, the approval is necessary to purchase or refinance any condo property not currently registered as eligible for the VA home loan guarantee.

The continued pace of economic recovery has sparked increased interest in federal home loan programs. A result of growing demand for VA loans is a marked uptick in the need for this particular service. In the last 24 months, VA HLC requests for new VA Home Loan applications have more than doubled. Concurrently, requests for VA HLC Expedited VA condo ID processing have experienced a substantial increase. Future demand is expected to grow at an even faster pace.

“Due to a variety of economic factors, the VA Home Loan Centers processing fee previously being charged is not adequate given the amount of resources currently allocated to this service,” according to Philip Georgiades, Chief Loan Steward of VA Home Loan Centers. “This change, while unfortunate, is necessary in our commitment to provide veterans exceptional customer service.”

VA Home Loan Centers remains committed to providing low and no cost assistance and representation to America’s military families.

Borrowers who apply for veterans home loans directly through VA Home Loan Centers are still eligible to receive a waiver of the processing fee in the event the condominium they wish to purchase does not currently have Veterans Administration approval. VA Home Loan Centers strongly urges all those exploring VA home loans for the purchase or refinancing of a condominium not currently approved by the United States Department of Veterans Affairs to request a VA HLC waiver.

More about VA Home Loan Centers (also available at http://www.vahomeloancenters.org):
VA Home Loan Centers is a leading provider of VA loan applications, assistance, and real estate representation. VA Home Loan Centers provides comprehensive services including: VA Loan short sale assistance, home buyer and home owner grants, buyer and seller fiduciary assistance, VA home loan application processing and a large variety of other services related to home financing for active duty military families, former service personnel and veterans. To apply for VA home loan, complete the VA Home Loan Application or call 888-573-4496 and access option 1. To obtain more information about eligibility for VA loans qualifications and rules call 888-573-4496 and access option 2.

VA closes in on medical claims backlog

WASHINGTON, April 2, 2012 – Veterans Affairs Secretary Eric K. Shinseki says VA is on track toward meeting one of the top priorities he set upon his arrival at the department three years ago: breaking the backup of the disability claims backlog.

“VA spent the last two years creating an automated tool to make claims determinations faster and more accurate,” Shenseki said. “Our intent is to have no claim over 125 days and every claims decision that we put out the door [will be] at a 98-percent quality mark.”

Toward that end, VA has been testing the new Veterans Benefit Management System in Providence, RI, and Salt Lake City. Shinseki told Congress last month that he belives this technology is helping VA “approach the tipping point in ending the backlog in disability claims.”

Shinseki stopped by the Salt Lake City office last week to asses progress there there as the department prepares to take the claims system nationwide beginning this fall. The rollout will begin at 16 regional offices in September, with all 56 VA regional offices to recieve it by the end of fiscal 2013, Shinseki said.

This advance is expected to go a long way in helping VA reduce the time veterans must wait for disability claims decisions, the Secretary said.

“We know we can do it manually,” Shinskei said. “But we plan to layer this automation tool on top of that, and have the people who did the manual work now armed with an automation tool. I think we will be able to take that backlog down quickly.”

Shinseki noted the monumental challenge VA has been up against. During 2009, VA produced 900,000 claims decisions, but also received over 1 million new claims. The next year, VA increased it’s claims decisions to 1 million, but received over 1.2 million new claims.

“Last year, we produced another 1 million claims decisions and got 1.3 million claims in,” Shinseki said, “So the backlog isn’t static. The backlog is a bigger number than we would like, but it is not the same number as three years ago.”

Once the automated system is in place, Shinseki said, he believes the 125-day, 98 percent accurancy goals he set are achievable. “There is a lot on the line here. And that is why this roll out in Spetember is an important one.”

Shenseki attributes his confidence to the successes his automation have brought to VA’s processing of Post-9/11 education benefit GI Bill claims.

Shinseki recalled arriving at VA in 2009 just as the new program was being launched and having to implement it on the fly, with no automation tools.

Within about nine months, he said, VA was able to prepare the manual process of getting about 173,000 into schools by the fall 2009 term.

“It was pretty rocky, but today, with the processes now automated, VA is able to process more than 600,000 Post-9/11 GI Bill claims faster, and with fewer mistakes, the Secretary said, That experience demonstrated the importance of keeping manual processing going as automation is being rolled in, the gradually moving all the processes toward automation, he added.

“The lessons we got out of that were tremendously important’” he said. “It educated our efforts with the automation tool for the [disability] claims process, and we are doing the same things, step-by-step, that we learned how to do through with the [Post-9/11 GI Bill].”

The new system is just one initiative VA has taken to break the claims backlog.

Another effort focuses on fundamentally changing the relationship between veterans and the VA, making the VA an advocate in putting together a strong claims package. The VA began giving veterans a checklist of what is needed to file a claim, and also did it’s own digging to produce whatever documentation veterans could’nt find. This effort reduces the time needed to put a claims package together.

In addition to this, there is at least one other pilot program which focuses on reducing procedural delays and making claims processing more efficient. The program simplifies the process while improving communication among the entities that process a claim. Shenseki acknowledged that the pilot program is not yet ready for deployment.

“We didn’t want to automate bad processes and just get lousy decisions faster,” he told a Paralyzed Veterans of America gathering. “So we broke the complex, convoluted claims process down into it’s component pieces to improve each part before putting them back together.”

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Article based on content written by Donna Miles.

Consumers Urged to be Proactive to Guard Against and Repair the Damage Caused by Scams

SACRAMENTO – The California Department of Real Estate (DRE) issued a Consumer Alert last week about the growing number of scams that involve forged or fraudulent property deeds and what consumers can do to protect themselves against such fraud. The DRE is a state department whose mission is to protect the public interests in real estate matters.

“In the current economic climate, criminal fraud related to real property deeds is on the rise and homeowners should be on the lookout for red flags to ensure the title to their property is protected” stated Barbara Bigby, Acting Real Estate Commissioner.

The department issued the alert to educate the public about the document recordation process, highlight some of the different types of deed scams which are being perpetrated against property owners, and to provide a checklist of warning signs that suggest or signify fraud.  The Alert also informs victims of actions they can take, including what steps are necessary to rectify “clouded” ownership records.

The warning signs of deed fraud include:

• You stop receiving your property tax bill or notices.
• You receive a Notice of Default or Notice of Trustee’s Sale when you own your home outright, or when you have a mortgage and you are not delinquent on your loan payments.
• You receive loan documents in the mail for a loan or transaction that you have no knowledge of. You learn of a recorded document on your property where ownership in your property, or a portion thereof, was transferred or sold to another party without your knowledge.
• You learn of a recorded document on your property where the signer of the document was deceased at the time of execution of the document.
• Changes or alterations were made to a recorded document after you signed it.

The key to stopping these kinds of scams is to immediately act on any suspicious activity. Initial steps a homeowner should take immediately include:

• Contact the County Recorder’s Office and let them know of the fraud.
• Report the activity to local law enforcement. Many counties now have real estate fraud divisions within the office of the District Attorney.
• Most recorded documents require a notarized signature and as such, a complaint should be filed with the California Secretary of State, Notary Public Section, if you suspect a forged signature on a notarized document.
• Contact your title insurance company to determine if forged deeds are covered under your title insurance policy.
• File a complaint with the DRE if you suspect that a real estate broker or salesperson, or unlicensed person purporting to be a real estate licensee, is involved in the forging of any deed or fraudulent recording of a false, fictitious, or forged deed.
• Consult with a licensed and knowledgeable California attorney. Bogus deeds may be void or annulled.

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To apply for a California VA loan, click here.

For information about California VA Loans, click here.

VA Announces it's goal of eliminating homeless vets

HUD & VA TO PROVIDE PERMANENT HOUSING AND SUPPORT TO MORE THAN 10,000 HOMELESS VETS!
Latest estimate shows veterans homelessness fell nearly 12 percent.

Washington- U.S. Housing and Urban Development Secretary Shaun Donovan and U.S. Department of Veterans Affairs Secretary Eric K. Shinseki announced today (03/27/2012) that HUD will provide $72.6 million to public housing agencies in all 50 states and the District of Columbia to supply permanent housing and case management for more than 10,000 homeless veterans.

The permanent supportive housing assistance announced today is provided through HUD’s Veterans Affairs Housing Program (HUD-VASH), a program administered by HUD, VA, and local housing agencies to provide permanent housing with case management and other supportive services for homeless veterans across the country. Click here for a complete local breakdown of the rental vouchers announced today.

“It’s a disgrace that one out of every six men and women in our shelters once wore a uniform to serve our country,” said HUD secretary Donovan. “But we know that by providing housing assistance and case management services, we can significantly reduce the number of veterans living on our streets. Working together, HUD, VA and local housing agencies are making real progress once and for all.”

“Under the leadership of President Obama, we have made significant progress in the fight to end homelessness among veterans, but more work remains,” said VA Secretary Shinseki. “The partnership between the federal government and community agencies across the country has strengthened all of our efforts to honor our veterans and keep us on track to prevent and eliminate veteran homelessness by 2015.”

This funding to local agencies is part of the Obama Administration’s commitment to end Veteran and long-term chronic homelessness by 2015, Opening Doors: Federal Strategic Plan to Prevent and End Homelessness serves as a road map for how the federal government will work with state and local agreements to confront the root causes of homelessness, especially among former servicemen and women. HUD’s annual “point in time” estimate of the number of homelessness persons and families for 2011 found that veteran homelessness fell by nearly 12 percent (or 8,834 people) since January 2010.

The grants announced today are part of $75 million appropriated for fiscal year 2012 to support the housing needs of homeless veterans. This is the first of two rounds of the 2012 HUD-VASH funding. HUD expects to announce the remaining funding by the end of this summer.

VAMCs work closely with closely with homeless veterans then refer them veterans then refer them to public housing agencies for these vouchers, based upon a variety of factors, most importantly the duration of the homelessness and the need for longer term more intensive support to obtain and maintain comprehensive case management that VAMC staff provides.

Veterans participating in the HUD-VASH program rent privately owned housing and generally contribute no more than 30 percent of their income toward rent. VA offers eligible homeless veterans clinical and supportive services through its medical centers across U.S., Guam and Puerto Rico.

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If you are a homeless veteran, contact your nearest VA medical center to enroll in the housing program.

Veterans To Receive Bonus Pay

As a result of the war on terror, many service members were called upon to involuntarily extend their service. Those  that were ordered to serve involuntarily extended duty between the 9/11/2001 terrorist attacks and Sept. 30, 2009 are eligible for retroactive pay.

Veterans discharged with honorable status, active duty, reservists, and beneficiaries (surviving spouses or children) who either served our whose family member served may be eligible and are encouraged to apply.

Although there have been over 97,000 claims, estimates released by the Department of Defense indicate that an additional 47,700 service personnel are still eligible, and have yet to claim their benefit.

“The lack of claims is believed to be attributed to the fact that most eligible are simply unaware of their entitlement”. Said Philip Georgiades chief loan steward of VA Home Loan Centers. “If you or a loved one served between the dates of 09/11/2001 and 09/30/2009, it is highly recommended that you apply to see if you are eligible for the benefit. A vast majority of those who served may be entitled to tens of thousands of dollars of back pay.”

Of the service personnel eligible, each is to receive a retroactive bonus of $500.00 per month for each full or partial month served under stop loss. However, service personnel who received a re-enlistment or retention bonus while serving under the stop loss are ineligible for the bonus.

The idea behind the special bonus to to compensate for the hardships caused by the involuntary extension.

The resolution authorized by Public Law 112-74 also grants a 24 month extension to eligible service members, veterans and their beneficiaries  who apply. The new date to file a claim ends on October 21, 2012.

To receive the benefit, service members must submit documented proof with their claim. Evidence may require a copy of the veterans DD Form 214, DD Form 4, DD Form 1966, DA Form 4187, memorandum showing retirement was denied or suspended, or other such documentation.

In cases where the recipient is a beneficiary of a deceased veteran, the surviving spouse or child of the deceased is advised to contact the appropriate military service branch for assistance with filling the claim.  Those who are alive and well who are seeking to apply for the special bonus pay are advised to apply at http://www.defense.gov/stoploss.

About VA Home Loan Centers (http://www.vahomeloancenters.org)
VA Home Loan Centers is a qualified lender of mortgage loans to United States Veterans. VA loans help veterans, active and former duty military, and certain spouses of wounded, M.I.A., or K.I.A. US service personnel achieve the ultimate American dream: home ownership. Services provided by VA Home Loan Centers include real estate representation such as VA loan short sale  processing, purchase assistance and VA home mortgage origination. VA Home Loan Centers offers beneficial loans to all eligible veterans and their families. A loan through VA Home Loan Centers is easier to qualify for than other loan programs, and offers higher front-end and debt ratios. Other benefits include no down payment requirement, the ability to finance the funding fee, no mortgage insurance premiums, no prepayment penalties, low interest rates and monthly costs. This includes 15-year and 30-year fixed mortgage rates. You can call 888-573-4496 anytime to request a VA Loan Application.

The Army plans to invest more than $7 billion in renewable-energy sources, wind, solar, biomass and geothermal, and has released a draft request for proposal, or RFP, that could allow multiple projects to begin nationwide.

Speaking at a media roundtable March 15, Katherine Hammack, assistant secretary of the Army for Installations, Energy & Environment, said the cumulative investment will help the Army reach its goal of having 25 percent of the Army’s energy come from renewable sources by 2025. She began the roundtable by restating the Army’s “net-zero strategy.”

“Specifically, a net-zero energy installation produces as much energy annually as it uses, and this does not mean replacement of current energy requirements with onsite energy production,” she said. “It means that installations address energy efficiency as the primary first step and then evaluate, repurpose and reuse energy as well as energy recovery.”

Presently, the Army consumes 2.5 million megawatt hours annually.

In addition to energy conservation, installations will strive to establish alternative forms of energy that will allow them to “island” or continue to operate should the power grid fail.

“We understand there’s a need to enhance our energy security because it’s operationally necessary, financially prudent and critical to our mission,” Hammack said. “We know that power grids are increasingly vulnerable and expose Army operations to risk.”

She noted those risks include terrorist attacks as well as natural disasters such as drought and forest-fire conditions in the west (which some installations are already facing) and unstable weather to include tornadoes.

Hammack said the Army’s risk-mitigation strategy involves onsite renewable-energy production and it must be done in a fiscally responsible manner, which is where the Energy Initiatives Task Force, or EITF, comes into play.

The EITF serves as the central managing office to plan and execute large-scale renewable energy projects of greater than 10 megawatts (roughly enough to power 30,000 homes) on Army installations, which will be accomplished by leveraging private-sector financing.

“The EITF was tasked to develop a process that is clear, consistent and transparent so that we can provide the private sector with a consistent environment to engage with the Army which will allow EITF projects to maximize return on investments for both the Army and industry,” Hammack said.

EITF Executive Director John Lushetsky said that since the EITF began operating six months ago, it has developed standard approaches and criteria to evaluate different project opportunities to make the business of large-scale, renewable-energy development much more predictable and routine.

“We have screened more than 180 Army and National Guard installations and are currently engaged with 15 different installations at various levels of due diligence,” he said. “For each of these projects, the EITF reviews a number of critical project success factors that include installation security and mission impacts, expected life-cycle economics, real-estate access, utility regulations, systems integration, environmental permitting and acquisition approach.”

A renewable-energy project guide will be issued for comment later in the spring Lushetsky said.

The task force has been working closely with the U.S. Corps of Engineers to develop a request for proposal under what it calls the Multiple Award Order Contract, or MATOC. The MATOC provides a two-step process. In the first step, companies submit initial proposals and qualifications that are not project-specific.

“This will allow us to select who we think are broadly qualified companies to bid on solar, wind, biomass — waste to energy — as well as geothermal projects,” Hammack said. “Once we’ve established that qualified list, then we’ll be in a position as projects are qualified by the EITF to issue task orders.”

The draft RFP for the MATOC is out for public comment until March 24. Lushetsky said in the last six months the EITF has had requests to meet with some 195 companies and financial institutions, and met with 40 to outline the EITF approach and plans.

The EITF plans to have a summit in May to meet with industry and discuss the renewable- energy development guide as well as specific projects.

“Long term, the Army is also interested in exploring the role of micro grids and energy storage as those technologies become better defined and more affordable,” Lushetsky said.

Courtesy J.D. Leipold

When it comes to setting up your move, planning ahead can save you much stress. After your VA loan is approved, and fair weather is on the horizon, the next step is preparing your move.

More families consider summer the ideal, least disruptive time to move.  In fact, over 225,000 Coast Guard and DOD household moves (shipments) occur during the summer months alone. During the summer months over half of all DOD and military moves occur.

The height of the summer moving season happens as both military and private sector civilian families attempt to take advantage of the long holiday weekends that Memorial and Independence Day provide.

Because of the extra time off, the busiest part of the peak moving season begins at the end of June and continues into the weekend after the Fourth of July.

According to DOD officials, the bulk of residential moves happens during the summer break. As military household shipments compete with civilian household shipments, a backlog is created for both officials and mover / carriers.

Service members who to move around these dates may run into some obstacles when trying to guarantee specific dates. These roadblocks however, can be mitigated by booking moving dates early. This alone is key to avoiding the rush.

According to John Johnson branch chief of the personal property directorate quality assurance division of the Army’s Military Surface Deployment and Distribution Command, “careful planning is vital to ensuring a smooth move, especially during the busiest season.” The directorate, manages the personal property program for the Defense Department.

If you are scheduled for a move as a result of a PCS , military retirement, or civilian DOD transfer, these tips from the VA Home Loan Centers and DOD can help make the process a little less stressfull.

1. Book your move as early as you can.  Try to remain as flexible with your dates as you can.

2. If you are unable to obtain the dates you want, consider a do-it-yourself move (also known as a personally procured move). Among the advantages with a personally procured move is that the risk of shipment loss is lessened as well as the flexibility to move when it is most convenient to you.  If you are employed by the DOD or are active duty, you can usually be reimbursed for the cost of a personally procured move.

3. Use the DOD weight estimator located here to determine the weight of your items. Be sure to stay within the guidelines of the weight allowance for your rank or civilian pay grade.

4. Minimize any excess weight to avoid overweight penalties. A great way to do this is to donate any unwanted goods and items to charity. AMVETS, Salvation Army, and Goodwill will not only pick up the items so you don’t have to move them, they can give you a tax deduction for your donation.

5. Create a “moving calendar” and include important phone numbers and packing milestones. Plan the packing of each room by date. Rooms that are the least used (guest bedrooms and guest bathrooms for example) should be packed first.

6. Track your moving calendar progression. If you find yourself behind schedule, adjust the schedule to get back on the timeline.

7. Try to limit each box at a maximum weight of 35 pounds. Boxes that are less heavy are less likely to shift during the move and can prevent injury. A bathroom scale is a convenient way to keep track of the weight of each box.

8. Take a picture of your stereo and computer cables and speaker wiring. An added precautionary step is to “label the cable.” If at all possible, print a copy of the wiring picture and place it in the box with the stereo or computer.

9. Double box your fragile items. Pack the fragile items in a box with packing filler. Place the packed boxes in a larger box and surround those boxes with additional filler.

10. Visit your local personal property shipping office,installation transportation office,  or the DPS (Defense Personal Property System) before you begin the moving plan. These are invaluable resources that can help provide further tips and assistance with your move.

11. Once your move is complete, be sure to fill out a scorecard. DOD carriers and moving companies are awarded future business based largely on the results of their survey scores.

An orderly move can be a stress-less move. These tips can help avoid a lot of the headaches caused by inadequate planning.

(Mitch Chandra of the Surface Deployment and Distribution Command and Elaine Sanchez of the Armed Forces Press Service contributed to this article.)

BOA_Settlement_Documents_v1BOA_Settlement_Documents_v1

March 13, 2012. This week, president Obama announced a series of initiatives to help rebuild the American economy. As outlined in the plan, certain veterans will be entitled to foreclosure settlements in excess of $116,785. Today, VA Home Loan Centers is announcing its directive to provide free assistance and counseling to those seeking claims for foreclosure relief.

Veterans entitled to the funds must be victims of a wrongful foreclosure from specific lenders who violated the Servicemembers Civil Relief Act, also known as SCRA.

“The main idea behind the SCRA was to look out for the rights of American military and civil service personnel who devote every fiber of their being to the defense of democracy at home and abroad,” said Philip Georgiades, Chief Loan Steward for VA Home Loan Centers. “These efforts are a major step forward in preserving the middle class and expressing gratitude through justice towards military personnel.”

As part of the SCRA legislation, the servicemembers are supposed to be protected against wrongful foreclosure and repossession.

As a byproduct of the housing crisis, many military members were foreclosed upon illegally. Those whose rights have been violated due to improper foreclosure are entitled to a payment equal or greater to the servicemember’s lost equity, along with interest and an additional $116,785.

Other borrowers may also receive a reimbursement if they have had to sell their homes as a result of a permanent change of station (PCS).

Current homeowners who meet certain eligibility criteria may also qualify for other foreclosure relief, grants or short sale assistance.

The repayments and foreclosure avoidance alternatives are a part of the $25 billion Homeowner Relief settlement between major servicers and the state and federal governments in February 2012.

VA Home Loan Centers is providing free assistance and counseling to aid veterans in determining their eligibility for foreclosure avoidance, assistance and relief.

About VA Home Loan Centers (http://www.vahomeloancenters.org/)

VA Home loan Centers provides short sale VA loan assistance and grants are available to borrowers who qualify.

VA Home Loan Centers is a qualified lender of mortgage (VA loans) to United States Veterans. The VA loan program helps veterans, active and former military personnel, and certain spouses of United States service personnel to achieve the ultimate American dream: home ownership. Services provided by VA Home Loan Centers include real estate representation, such as VA loan short sale processing, purchase assistance and VA loan application processing. VA Home Loan Centers offers beneficial loans to all eligible veterans and their families. A loan through VA Home Loan Centers is easier to qualify for than other loan programs, as it offers no down payment, no mortgage insurance, and no closing costs option (VA no/no/no). Other VA loan benefits include no prepayment penalties, low interest rates and monthly costs. Available VA loans include 15-year and 30-year fixed mortgage rates. Borrowers who apply directly through VA Home Loan Centers may also be eligible for a maximum rebate or credit for closing costs. You can call 1-888-573-4496 to learn more or to apply for a VA loan.

San Diego VA loans on the rise

Today, VA Home Loan Centers announced the findings of a 24-month regional statistical area study. The scope of the study was to examine the use of VA home loans. The results of the study show that over the past two years, VA home loans have increased their market share in the San Diego area.

In San Diego, VA loans represented 11.05 percent of all purchase transactions between Feb. 13, 2011, and Feb. 13, 2012. This is up from 9.24 percent of all purchase transactions in the preceding 12 months.

The study also shows that while VA loans are becoming a more popular finance option to purchase a home, the guaranteed loan is used to finance only 1.85 percent of all homes in the region.

The survey includes sales and finance data of the greater San Diego area, including southern Riverside and Orange counties. The report by VA Home Loan Centers also shows that the overall number of home sales in the region has declined by 9 percent. There were 38,356 total home sales from February 2010 to February 2011 and 36,023 home sales in the following 12-month period.

“The data indicates an increase of sellers willing to accept VA home loans.” said Philip Georgiades, chief loan steward at San Diego VA Home Loan Centers. “The numbers also indicate a growing awareness of VA loans as a way to rebuild credit. Many buyers seeking to purchase a home either as a first-time buyer or as a buyer who had a previous foreclosure or bankruptcy are discovering that the VA loan has many other advantages in addition to the ability to buy with no money down. Among those advantages are softened credit restrictions.”

The regional report applied a comprehensive analysis of purchase home loan transactions guaranteed by the U.S. Department of Veterans Affairs among other financing methods. The data collected compared cash purchases to VA, FHA and conventional home loan use.

About VA Home Loan Centers….

VA Home Loan Centers provides short sale VA loan assistance, and grants are available to borrowers who qualify.
VA Home Loan Centers is a qualified lender of mortgage loans to United States veterans. The VA loan program helps veterans, active and former duty military, and certain spouses of wounded, MIA or KIA U.S. service personnel achieve the ultimate American dream: home ownership. Services provided by VA Home Loan Centers include real estate representation such as VA loan short sale processing, purchase assistance and VA loan application processing. VA Home Loan Centers offers beneficial loans to all eligible veterans and their families. A loan through VA Home Loan Centers is easier to qualify for than other loan programs because of higher front-end and debt ratios as well as the no-down-payment, no-closing-costs option (VA no/no). Other benefits include the ability to finance the funding fee, no mortgage insurance premiums, no prepayment penalties, low interest rates and monthly costs. VA loans available include 15-year and 30-year fixed mortgage rates. Borrowers who apply directly through VA Home Loan Centers may also be eligible for a rebate of up to 1.5 percent of the total loan amount. You can call 888-573-4496 anytime to learn more or to apply for a VA loan.

San Diego, CA January 26, 2012

VA loan regulations may be too restricitve for those seeking relief.

VA Home Loan Centers announces new updates to the loan mod regulations may be too restrictive to provide adequate assistance for those seeking assistance with their VA loans.

The Department of Veterans Affairs has enacted temporary changes to the administrative law governing federal VA home loan modification.

VA Home Loan Centers comprehends that the intention of the short-term regulation reform was to allow loan servicers direct authority to modify VA loans in their portfolios. This adjustment would seemingly provide mortgage relief to veteran and active-duty homeowners who are in default on VA home loans.

Although the program was designed to streamline the modification process, the United States Department of Veterans Affairs has stated that an unintended consequence of the new law has been the emergence of additional obstacles for the borrowers and loan services.

The good news according to VA Home Loan Centers is that the program creates certain protections for military homeowners in trouble. The temporary law makes it faster to get assistance while limiting the costs lenders can charge for the loan modification. Late fees cannot be added to the new home loan balance, but unpaid taxes, homeowners association dues and insurance can be rolled into the mortgage.

The new rules allow VA loans older than one year to be repaid in a new 10- or 30-year repayment plan. If the borrower has a need, they may apply for another modification after three years. The new modified VA loan must provide a fixed interest rate, but this new rate can be higher than the rate of the prior VA loan.

VA Home Loan Centers interprets the law to reflect that while the good intentions are evident, an ironic result of the new regulation is that borrowers who need help the most may not be able to receive the benefits of the program.

The regulations state that as a condition of eligibility for loan modification, the borrower must have acceptable income, expenses, assets and credit history. The problem is that homeowners who are in default usually do not have what lenders would consider an acceptable credit or income history.

VA Home Loan Centers recognizes that this clause is too restrictive and may allow service providers the ability to deny many modification applicants. Once a borrower has been denied, the remaining options are usually bankruptcy, foreclosure or a short sale of the home.

VA Home Loan Centers acknowledges that while the new rules to the loan mod program are intended to give a second chance, many borrowers will not be able to get relief. The result is likely to keep the program from completing its objective.

While veteran borrowers are not guaranteed a loan modification, they can apply for one if they meet very restrictive criteria,” said Philip Georgiades, chief loan steward for VA Home Loan Centers. “Although some veterans can benefit from the loan mod program, many will not. The new update to the law was supposed to make it easier for veterans to obtain a loan modification. The adjustment to the law is an insufficient way to protect those who protect us.”

About VA Home Loan Centers (http://www.vahomeloancenters.org/ )

VA Home Loan Centers is a qualified lender of mortgage loans to United States veterans. The VA loan program helps veterans, active and former duty military, and certain spouses of U.S. service personnel to achieve home ownership. Services provided by VA Home Loan Centers include real estate representation, such as VA loan short sale processing, purchase assistance and VA loans application administration. VA Home Loan Centers offers no cost / low cost beneficial loans and services to all eligible veterans and their families.

A loan through VA Home Loan Centers is easier to qualify for than other loan programs by offering relaxed credit guidelines as well as the no-down-payment, no-closing-costs option (VA no/no). Other benefits include the ability to finance the funding fee, no mortgage insurance premiums, no prepayment penalties, low interest rates and monthly costs. VA loans available include 15-year and 30-year fixed-rate mortgages. Borrowers who apply directly through VA Home Loan Centers may also be eligible for a rebate of up to 1.5 percent of the total loan amount.

Borrowers with a Veterans Administration mortgage who would like to apply for a VA home loan modification, are advised to contact the company (mortgage servicer, lender, or bank) where they remit their payment.

Borrowers with a VA loan who have been denied a home loan modification, are advised to contact VA Home Loan Centers to apply for a VA Loan short sale. Free short sale VA loan assistance and grants are available to all borrowers who qualify.

To learn more or to apply for a VA loan, call 888-573-4496.