VA Home Loans

What Is a VA Loan?

A VA loan is a mortgage partly guaranteed by the U.S. Department of Veterans Affairs. Like FHA, the government doesn't lend the money directly. Instead, the VA promises to repay part of the loan if the borrower defaults. That guarantee lets private lenders offer terms that are hard to find anywhere else.

VA loans can be used to buy a home, build a home, refinance an existing loan to a lower rate, or take cash out of your home's equity.

Who Is Eligible?

Eligibility depends on your service history. In general, you may qualify if you are (as of 2026, subject to change):

• An active-duty service member who has served at least 90 continuous days
• A veteran who meets minimum service requirements and wasn't dishonorably discharged
• A National Guard or Reserve member with at least six years of service, or 90 days of active-duty service under certain orders
• The surviving spouse of a service member who died in the line of duty or from a service-connected disability, in many cases

You'll need a Certificate of Eligibility (COE) to prove your entitlement. In most cases I can request it online for you within minutes. You'll also need to meet lender guidelines for credit and income.

What Type of Home Can I Buy?

VA loans are for homes you plan to live in as your primary residence. That can include a single-family home, a VA-approved condominium, a manufactured home on a permanent foundation, new construction, or a property with up to four units, as long as you live in one of them.

The home must meet the VA's Minimum Property Requirements. These make sure the home is safe, sound and sanitary. A VA appraiser will check things like the roof, heating system and water supply.

Benefits of a VA Loan

• No down payment is required for eligible borrowers with full entitlement.
• No monthly mortgage insurance, which can save hundreds of dollars a month compared with other low-down-payment loans.
• Competitive interest rates thanks to the VA guarantee.
• Limits on closing costs. The VA restricts some fees veterans can be charged, and sellers can pay certain costs.
• Flexible credit guidelines. The VA doesn't set a minimum score, though lenders do.
• No prepayment penalty. Pay extra or pay off early anytime.
• Funding fee exemptions for veterans receiving VA disability compensation and certain other borrowers.

How Do I Apply?

Applying for a VA loan is a lot like applying for any other mortgage. Here's the path:

1. Talk with a lender experienced in VA loans to review your goals and budget.
2. Get your Certificate of Eligibility. Your lender can often pull it online.
3. Get pre-approved so you know your price range and can make strong offers.
4. Find a home with a real estate agent who understands VA purchases.
5. Complete your application, order the VA appraisal and move through underwriting.
6. Close on your new home.

Helpful documents include your DD-214 (for veterans) or a statement of service (for active duty), pay stubs, W-2s, and bank statements.

Can I Get a Second VA Loan?

Yes. Your VA benefit can be used more than once. If you sold your home and paid off the VA loan, your full entitlement can usually be restored. You can also apply for a one-time restoration if you paid off the loan but kept the home.

In some cases you can even have two VA loans at the same time, for example if you're relocating for a new duty station and keeping your first home as a rental. This uses your remaining entitlement, and a down payment may be required depending on the price and your county loan limit. I'm happy to calculate your remaining entitlement for you.

Disadvantages of a VA Loan

VA loans are fantastic, but they aren't perfect for every situation:

• Funding fee. Most borrowers pay a one-time VA funding fee. For a first-time use with less than 5% down it's 2.15% of the loan amount, and it's higher for later use (as of 2026, subject to change). It can be rolled into the loan.
• Primary residence only. You can't use a VA loan for a vacation home or pure investment property.
• Property requirements. Homes needing major repairs may not pass the VA appraisal without fixes.
• No down payment means less equity. If home values dip, it's easier to owe more than your home is worth.

For most eligible buyers, the savings far outweigh these drawbacks. Let's compare your VA option with other programs so you can decide with confidence.