Adjust Text Size

For Immediate Release
3/5/07
Back to Releases

Pippy: Low-Interest Housing Loans Now Available to More Veterans

Pennsylvania Housing Finance Agency loans now open to veterans who are not first-time homebuyers

Moon – Military veterans can now use Pennsylvania Housing Finance Agency (PHFA) home mortgage loans to buy houses, even if they aren’t first-time homebuyers, state Sen. John Pippy (R-37) said today.  

Pippy, Chairman of the Senate Urban Affairs and Housing Committee, said the PHFA has adopted new rules in which honorably discharged veterans of the uniformed services who have owned homes in the past can now buy houses using PHFA-financed loans, which generally run from one-half to one-and-a-half points lower than conventional mortgages. 

“For years, federal law restricted these loans primarily to first-time homebuyers. The law was changed in December, opening up the program to more veterans,” said Pippy.  “I urge veterans to look into PHFA mortgage loans, especially if they thought they were ineligible in the past.” 

The new rule will remain in force throughout 2007. 

Federal guidelines require that anyone using mortgage revenue bond loans to buy homes meet certain maximum income and purchase price limits. This restriction will still apply to veterans.  

In Allegheny and Washington counties, the maximum home purchase price is $288,000. The Allegheny County income limit is $60,000 for households with one or two persons, and $69,000 for households with three or more persons. (The income limits are higher in some “targeted” areas.) In Washington County, the income limits are $72,000 and $84,000. 

Additional information, including participating lenders, program guidelines and limits, is available on the PHFA Web site, www.phfa.org, or by calling the toll-free mortgage hotline, 1-800-822-1174. 

CONTACT: Matt Campion (412) 571-3822