Eligible California veterans can now borrow up to $90,000 from the state at 7% interest to buy a home through the Cal-Vet home-loan program.
The previous limit of $75,000 had been in effect since June, 1983, said Jesse G. Ugalde, director of the California Department of Veterans Affairs.
Veterans seeking loans above the new $90,000 limit can obtain a second mortgage from another lender, and the combined interest rates will still be lower than those offered by most lenders, Ugalde said.
Monthly payments for principal and interest on a 7%, $90,000 loan would total about $637.
More information is available from the California Department of Veterans Affairs. The toll-free telephone number is 1-800/952-5626.