Home loans guaranteed by the Department of Veterans Affairs are performing remarkably well, according to the latest industry data, and servicers may now modify VA loans using the same formula as in the Obama administration’s Home Affordable Modification Program. The Mortgage Bankers Association’s latest National Delinquency Survey shows that the serious delinquency rate for VA loans in the first quarter of 2010 was 5.29 percent, well below the 7.08 percent for prime loans. The VA delinquency rate in 1Q10 was down 13 basis points from the 5.42 percent at the end of 2009. “VA loans have performed better than any other segment of the market, despite...