The VA Home Loan Guaranty program has announced a new percentage that lenders can use in calculating the purchase price of a property securing a terminated loan. The new percentage becomes effective on Dec. 23, 2015. When a veteran borrower defaults on a VA loan, the agency is obligated to pay a guaranty claim to the loan holder. If requirements are satisfied, a foreclosing loan holder also has the option of conveying a foreclosed property to VA. A key component in conveying a property to the VA is the net value of the property to the federal government. Net value, essentially, is the fair market value of the property minus the total cost the agency estimates it would incur in acquiring and disposing of the property. A percentage that VA computes annually represents the costs of acquisition and disposition. The agency refers to this computed percentage as the “cost factor.” VA is continuing ...