The Best Ways to Qualify for a VA Home Loan

By Kristie Lorette

VA loans assist those who have served their country in the military realize the dream of owning a home. Because VA loans are government-backed, it may seem like qualifying for a VA home loan may be more complicated than a traditional loan program. There are ways you can maneuver the process that makes it simpler and easier to qualify.

To qualify for a VA home loan, you first have to obtain your certificate of eligibility. The form for requesting your certificate is Form 26-1880 and can be obtained from any VA Eligibility Center around the country or online at https://www.va.gov/vaforms/form_detail.asp?FormNo=26-1880.

Once you submit the form to the U.S. Department of Veteran Affairs, your paperwork will be processed and a certificate will be mailed to the address you included on your application. To qualify for a certificate, you must prove that you have been a member of active duty since Sept. 16, 1940. You also have to prove what type of discharge you obtained from the military if you are no longer active duty.

It's also easier to qualify for a VA loan if you know the types of properties that are eligible for VA financing. This will help to narrow your options when you're shopping for a property and keep you from wasting time looking at properties that aren't eligible.

You can finance the purchase of a property with a VA loan if it is a single-family home, an apartment, condo or townhouse. You can also finance the construction of a single-family home. You cannot finance commercial properties, investment properties, and second homes with a VA loan, so the home you are purchasing must be your primary residence--the home where you will live.

Various lenders, banks and mortgage brokers offer VA loans. Check with the bank where you have your savings and checking account to see if they offer VA loan financing options. If you apply for a mortgage with a lender where you already have some form of an established financial relationship, it can make it easier for you to qualify for the loan.

You can also shop and compare local credit unions or mortgage brokers in your area. Because the VA is not the lender, you have to obtain the mortgage through a bank, mortgage lender or mortgage broker that offers VA loans. All VA loan lenders are not the same, however, so you want to shop and compare at least three lenders before deciding which mortgage option is the right one or you.

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