Evening star., 1944-06-24
GI Bill Of Rights
Expected 10 Spur
Home Ownership

The CT Bill of Rights which sets
up benefits for war veterans, In
cluding the most far reaching home
purchasing program on record, has
become a law.
Though lawyers are still In q
huddle trying to figure out some
OF the ambiguous language of parts
of the bill, Herbert Nelson, editor
of Headlines, weekly news sheet
of the National Association OF Real
Estate Boards, interprets the real
estate section of the bill as follows
Stimulant for Ownership.
THE home purchase provisions
in the opinion of responsible Wash
ington officials, will be one of the
greatest stimulants to home owner
ship this Nation has experienced.
Every responsible service man or
woman with 80 days service will
have chance to acquire a home.
Every realtor should know the de-
tails of this measure. This, In brief,
is what Is provides:
81. Effective at once, and con-
tinuing for period up to five years
after the war, any honorably dis
charged veteran can apply to the
Veterans Administration for guar
antee of up to so per cent of loan
for the purchase of g. home, farm,
or business. Top amount the Gov
erpment can insure is $4,000. The
administrator of veterans affairs
will pass on the practicability of the
loan.
%. II the veteran wishes to pur-
chase home, and can arrange FILA
financing for the first mortgage, the
Government will guarantee 100 per
cent of a loan to be used for down
payment (up to $4,000 This 100
per cent guaranteed loan applies to
any purchase (home, farm. or busi-
ness where the principal Cor first)
loan is approved by any Federal
agency. The 100 per cent guaranteed
down payment loan for home is
limited to 20 per cent of the total
purchase cost, This means that a
returning veteran can purchase a
house costing up to $4,000 without
having to put up any money of his
own.
Four Per Cent Interest.
g. Where the veteran takes a SO
per cent guaranteed loan, the Gov
eminent will pay the interest for
the first year; the veteran will pay
up to per cent after that. Where
he elects to take 100 per cent guar
anteed down payment loan on a
home, the rate of interest on that
loan shall not exceed the interest on
the first mortgage by more than
] per cent.
4. Detailed regulations covering
loans will be issued by the admins
traitor of veterans affairs. The loans
are to be paid in not more than
20 years. Loans may be used also
for repairs, alterations, and i'm
provements, or for paying delinquent
Indebtedness, taxes, and assessments
on residential property owned by a
veteran and used by him as home.
Purchase of land, buildings, live
stock, and equipment for farms is
covered. Land, buildings, supplies,
tools, and equipment for operating
N business are also included.
The administrator of veterans
affairs will soon issue regulations
putting the law into effect. Watch
for his action. In effect, the Gov
ernment has opened the door to
home ownership to $4,000, 900 service
men and women. Realtors have the
chance to guide returning veterans
well and wisely in using the benefits
Of the law. You viii have unprece-
dented opportunity to sell houses
and to create a vast new wave of
home ownership. But In so doing,
it will be your responsibility to offer
only sound guidance, constructive
advice, and experienced counsel to
these veterans who undertake obliga-
tions. Nothing short of that can be
expected from rea1farS