Housing Assistance: An Inventory of Fiscal Year 2010 Programs, Tax Expenditures, and Other Activities

U.S. Government Accountability Office

Administering Agency/Entity	Department of Veterans Affairs
Short Description	Assists veterans who are financing the purchase of a home to get favorable loan terms. Eligible veterans may finance a home through a private lender, and VA guarantees to pay the lender a portion of losses that may be suffered as a result of borrower default. VA-guaranteed loans may be used to purchase single-family homes, two-to-four-family buildings where the owner will occupy one or more of the units, manufactured homes and lots, and condominiums in developments approved by VA. VA also allows veterans to refinance their existing VA-guaranteed home loans to reduce the interest rate or refinance non-VA-guaranteed home loans into VA-guaranteed loans. The VA guarantee is an entitlement earned by eligible veterans and servicemembers.
Primary Purpose	Assistance for buying, selling, or financing a home
Type of Housing Supported	Homeownership
Type of Assistance	Guaranteed loan
Fiscal Year 2010 Obligations	-$107,000,000; obligations represent the expected credit subsidy costs for loan commitments made in fiscal year 2010. These estimates are revised in subsequent years and the ultimate cost will not be known until the loans have matured.