A bill to raise the maximum guaranty on Veterans Administration-backed home and condominium loans from $17,500 to $23,000 was reported out last week by the Home Veterans Affairs committee. Though no similar legislation is now pending in the Senate, it may be introduced before hearings on veterans housing begin next month.
The bill would help veterans cope with escalating housing costs by unifying regulations for mobile homes, raising loan terms and generally treating mobile home like conventional homes.
Specifically, owners of all types of VA-insured mobile homes would be eligible for the maximum guaranty of $27,500. The length of repayment for single wide homes of for the purchase of the lot would be extended to 15 years and 32 days; for a double-wide mobile home, the term is 20 years and 32 days.
Eligibility requirements for GI Home loans for Vietnam-era veterans would be changed to those of World War II and Korean War veterans 90 days of active service.
At the same time, entitlement criteria for conventional homes would be extended to mobile homes. If a non-vet assumed a VA mortgage from a vet, the original holder of the mortgage would be held liable in case of defalt. If another vet took over the mortgage, the second vet would assume the responsibility.
The only new money in the bill would go for upping grants for housing for disabled vets from $25,000 to $30,000. These grants are made to ex-service personnel confined to wheelchairs so that theymay build or adapt existing homes with ramps and rails to accommodate the chairs. Each grant is limited to half the value of the house. In fiscal year 1977, $14.2 million was set aside for these grants. That figure would be increased by $44 million in fiscal 1979.