Your Guide to VA Loan Requirements and Eligibility

The U.S. Department of Veterans Affairs (VA) guarantees loans made by a VA-approved lender for loans made to qualifying Active Duty Servicemembers, Veterans and eligible spouses. Meeting VA home loan requirements can help you buy, build or renovate your home up to 100% LTV (loan-to-value).

VA loans are issued by lenders—such as banks and credit unions—to qualified Active Duty Servicemembers, Veterans and eligible spouses.

Why get a VA home loan?

VA home loans offer several special benefits compared with typical conventional home loans that make them an excellent choice for eligible borrowers. Here are some of the main benefits:

• Lower mortgage rates
• Lower or no down payments
• No private mortgage insurance (PMI) payments
• An excellent refinance program that helps Veterans lower their payments or cash out home equity
• A higher debt-to-income (DTI) ratio may be allowed
• Potential help with closing costs from local grants or first-time homebuyer assistant programs meeting additional eligibility

Do VA loans have any other requirements?

The VA doesn’t set specific credit score requirements for loans. Instead, most lenders have their own criteria you’ll need to meet. Lenders also will review your DTI ratio and assess your ability to repay to ensure they meet VA standards. Be sure to review VA home loan requirements to see if you qualify for a mortgage.

If you’re looking to buy, refinance or remodel a home, an appraisal may be required to make sure the property meets the VA’s minimum requirements.

It’s also important to be aware of VA loan funding fees. These are required one-time payments for using the loan.

How do you buy a home with a VA loan?

Here are the common steps in getting a VA loan so you can purchase a home:

1. Get preapproved for a loan. Receive a preapproval from your lender of choice and begin the home-buying process.
2. Obtain required documentation. A Certificate of Eligibility (COE) from the VA confirms your military service and verifies that you meet VA home loan requirements. Your lender can help establish eligibility and obtain a COE for you. You can also request a certificate from the VA.gov site. You may need further documentation depending on your situation.
3. Shop for a home. Work with a trusted real estate agent to find an affordable home that meets your needs and fits your budget.
4. Sign a home purchase agreement. Make sure your real estate agent writes a VA option clause into your purchase agreement. This clause says that you aren’t legally bound to buy a home if the VA appraisal amount is lower than the seller’s asking price.
5. Get a VA appraisal. An appraisal report from a VA-certified appraiser must be ordered by your VA lender. The appraiser determines the home’s fair market value and looks for needed repairs to ensure that the property meets the VA’s Minimum Property Requirements (MPRs).
6. Have the home inspected. Hire a professional home inspector to thoroughly check the home’s structure for defects and inspect important elements like electrical wiring, pipes, roofing and heating and cooling systems.
7. Sign the closing documents. After the home closing, it’s official! Congratulations on your new home.

Is there a limit on how much money you can borrow with a VA loan?

There’s no loan limit or down payment requirement for buyers who have full entitlement. You’ll most likely be eligible if this is your first VA loan or you paid off your previous one.

For buyers with remaining entitlement, VA loan limits are based on the county where they live. The remaining entitlement can be used on its own or together with a down payment to take out another VA loan. Check the Federal Housing Finance Agency website for current conforming loan limits.

Can you use your VA loan benefit more than once?

There’s no limit to how many times you can use your VA loan benefit as long as you meet eligibility requirements. The VA can help you understand your loan eligibility.

The 2022 Navy Federal Spotlight on VA Loans survey found that even though a VA loan benefit can be used more than once, 50% of Active Duty Servicemembers and 31% of Veterans surveyed believed the benefit could be used only once.

What documents do you need to get a VA loan?

Depending on your military experience, you’ll need specific documents to meet VA home loan requirements.

Example documents required for VA Loans

Get on the path to securing a VA loan

Ready to explore your VA loan options? We invite you to start your home-buying journey with Navy Federal. As a top VA lender,^{Footnote 2} we understand the unique needs of Servicemembers and their families. We can help you determine if you meet the VA home loan requirements and guide you through each step so you can take advantage of the benefits you’ve earned.

Navy Federal can also connect you with a qualified real estate agent in your area through our RealtyPlus^® program.^{Footnote 3, Footnote 4}