VA Loan Guide
VA Loan Eligibility Guide
Mike Starr
Founder, MortgageWizardTools · M.S. Organizational Management
Who Is Eligible for a VA Loan?
VA home loan eligibility is based on your military service history. The program is open to a broad range of service categories, each with specific service length and character-of-discharge requirements. Eligibility is not automatic — you must obtain a Certificate of Eligibility (COE) to formally establish your entitlement.
Service Requirements by Category
Active-Duty Service Members
- •90 continuous days of active duty
- •Must have served during wartime, OR
- •181 continuous days during peacetime
- •Discharge must be honorable (or general under honorable conditions)
Veterans
- •90 days of active-duty service during wartime, OR
- •181 days during peacetime
- •Discharge must be honorable, general, or medical
- •Veterans discharged for a service-connected disability qualify regardless of time served
National Guard & Reserve Members
- •6 years of service in the Guard or Reserve, OR
- •90 consecutive days of active duty under Title 10 federal orders (including activation for war, national emergency, or contingency operations)
- •Discharge must be honorable
- •Activation for state emergency (Title 32) generally does not qualify
Surviving Spouses
- •Unremarried surviving spouse of a veteran who died in service or from a service-connected disability
- •Spouse of a veteran missing in action (MIA) or prisoner of war (POW)
- •Surviving spouses who remarried after age 57 may still qualify (since December 2003)
- •Must obtain a separate COE
Certificate of Eligibility (COE)
The Certificate of Eligibility is the official document that confirms you meet the VA's service requirements and shows lenders how much entitlement you have available. There are three ways to obtain your COE:
Through Your Lender
Most VA-approved lenders can pull your COE electronically in minutes using the VA's automated system. This is the fastest option.
Online (eBenefits)
Apply directly at VA.gov or eBenefits. You'll need your service and discharge information ready.
By Mail
Submit VA Form 26-1880 to your regional VA Loan Center. Allow several weeks for processing.
VA Entitlement Explained
Entitlement is the dollar amount the VA will guarantee on your loan. Basic entitlement is $36,000. Most veterans also have "bonus entitlement" of up to 25% of the conforming loan limit, which allows lenders to offer zero-down-payment loans at higher amounts.
| Situation | Entitlement | Down Payment Required? |
|---|---|---|
| First VA loan, no prior use | Full entitlement | No |
| Previous VA loan fully paid off and sold | Restored to full | No |
| Previous VA loan paid off but home kept | Remaining entitlement | Possibly, if loan exceeds limit |
| Active VA loan (second home purchase) | Remaining entitlement | Yes, 25% of amount above entitlement |
Lender Requirements (Beyond VA Eligibility)
VA eligibility does not guarantee loan approval. Individual lenders set their own minimum standards, which typically include:
- •Credit score: The VA has no minimum, but most lenders require 580–620. Better rates typically start at 640+.
- •Debt-to-income ratio: The VA guideline is 41%, but lenders may approve higher DTIs with compensating factors such as residual income.
- •Residual income: A VA-specific measure of remaining income after all obligations — designed to ensure veterans have enough left over for living expenses. Requirements vary by family size and region.
- •Stable employment: Most lenders want 2 years of consistent employment history in the same field.
- •Sufficient income: Income must support the monthly payment and meet the residual income threshold.
Frequently Asked Questions
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