ROANOKE TIMES 

                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: TUESDAY, February 5, 1991                   TAG: 9102050188
SECTION: BUSINESS                    PAGE: B-4   EDITION: METRO 
SOURCE: 
DATELINE: WASHINGTON                                LENGTH: Short

VA MORTGAGE LOAN RATES REDUCED TO 9%

The Department of Veterans Affairs said Monday it is lowering its maximum interest rate for federally backed VA home mortgages by one-half percentage point to 9 percent. The new rate will be effective today.

The agency lowered the rate from 10 percent to 9.5 percent on Nov. 19. The action puts the rate below 9.5 percent for the first time since April 13, 1987, the announcement said.

The new rate means that the monthly payments for principal and interest on a typical VA loan of $80,000 will amount to $643.70, which is $28.59 per month less than the November rate.

The department also lowered by one-half percentage point the maximum rate for graduated-payment mortgages to 9.25 percent, home-improvement loans to 10.5 percent, manufactured-home loans to 11.5 percent, manufactured-homes/lots-only loans to 11 percent, and manufactured-home-and-lot loans to 11 percent. - Associated Press 


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