Great news for military servicemembers and Veterans who are interested in buying a home in San Antonio. The Veterans Administration has announced that the VA Funding Fee is being reduced for loans closed on or after October 1, 2011. The reductions are for first and subsequent loans for both active duty, Veterans and persons qualifying based solely on service in the Reserves or National Guard.
When we look at a purchasing a home at $150,000, financing $150,000 plus the funding fee and at a 4.0% interest rate, after 3 years you could save over $1,000 with the new funding fee rate. To see what the new rates are compared to before, please take a look at the chart below.