The House Veterans’ Affairs passed H.R. 4482, to make VA ARM and hybrid ARM products permanent. Adjustable Rate Mortgages (ARMs) are especially useful loan products for active duty military. Since military families tend to move often, an ARM or hybrid ARM can be a very reasonable choice. The VA does not allow lenders to charge veterans a prepayment penalty, and so the risk is low for the homebuyer if they move or chose to refinance. Authority for the ARMs was set to expire on September 30, 2012, but this legislation will make the programs permanent. NAR supports this legislation, which now moves to the House Floor.
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