If you’re a veteran, active-duty service member, or part of the National Guard or Reserves, you might be eligible for one of the most powerful benefits available to you: the VA home loan. When I first learned about this program, I realized there were quite a few misconceptions—and even more advantages—than most people know. Let me walk you through the 7 key things you need to understand about VA loan eligibility.
1. You Must Meet Service Requirements
The foundation of VA loan eligibility lies in your military service. Generally, if you served 90 consecutive days during wartime or 181 days during peacetime, you’re eligible. For National Guard and Reserve members, at least 6 years of service is typically required. That’s how I qualified—and many others do, too.
2. You Need a Valid Certificate of Eligibility (COE)
I quickly learned that a COE is the official document that proves to lenders you’re eligible for a VA loan. It’s easy to request online through the VA portal, or even better—your lender can help you obtain it while you apply. It’s a small step that makes a big difference.
3. No Down Payment Is Required
This was one of the biggest game-changers for me. Unlike conventional loans, VA loans don’t require a down payment in most cases. That means I was able to buy a home without having to save tens of thousands of dollars upfront. It’s a huge advantage for first-time buyers.
4. Credit Score Flexibility
Although the VA doesn’t set a minimum credit score, most lenders look for something around 620. The good news? I found that VA loans are generally more forgiving of past financial hiccups compared to traditional loans.
5. You Must Use the Home as Your Primary Residence
A VA loan isn’t for investment properties or vacation homes—it must be for your primary residence. I had to certify that I intended to live in the home, which is a pretty fair deal when you consider the benefits.
6. You Can Use the Benefit More Than Once
Many people think you can only use a VA loan once, but that’s not true. I was surprised to learn you can use it multiple times, as long as you have remaining entitlement or restore your full entitlement through sale or refinance.
7. There’s a One-Time VA Funding Fee
To help keep the program going for future veterans, the VA charges a funding fee. It’s typically a small percentage of the loan amount and can be rolled into the mortgage. I found it manageable, especially considering there’s no mortgage insurance required.
Final Thoughts
Understanding VA loan eligibility is the first step to unlocking a powerful homebuying benefit. I took the time to explore the ins and outs, and it gave me the confidence to move forward with one of the best financial decisions I’ve made. If you’re eligible, don’t let this opportunity pass you by—you’ve earned it.
