How to Get a VA Home Loan

By Sandy Baker

A VA home loan is established with a guarantee from the United States Department of Veterans Affairs. The VA does not issue loans itself but rather helps to guarantee the loans of eligible Armed Force personnel. Individuals must meet specific requirements to obtain these loans including maintaining a strong credit score. Those who do meet eligibility and are planning to purchase their first home may find that a VA home loan is more affordable and easier to obtain than a traditional, conventional home loan.

Determine eligibility for a VA home loan by being active duty or honorably discharged. Eligibility is also dependent on the amount of time served (in peace times and war times), the type of service performed, and certain other criteria.

Obtain a Certificate of Eligibility, form VA Form 26-1880, either online or through a local VA office. This form establishes eligibility for the home loan applicant. In some cases, an automated certificate of eligibility is available and may be obtained through the applicant's lender.

Locate a loan lender who is able to provide VA guaranteed home loans. Most lenders may do so but they have to participate in the VA home loan program. Simply ask a lender if they participate in the program.

Become prequalified for the home loan. Like all types of mortgages, individuals will need to be qualified to obtain a VA home loan, which includes employment, income, and credit history verifications. Lenders will also need to verify all information including military identification and eligibility for the VA program.

Learn the benefits of obtaining a home loan through Veterans Affairs. Individuals may qualify for a lower interest rate or easier qualifications for these loans due to the added guarantee from the VA.

Secure the loan after shopping for a home, having it appraised and inspected and by completing final sales documentations including title transfer. Besides the Certificate of Eligibility and proof of military identification, the process of obtaining a VA home loan is the same as that of any other type of home loan.

Do shop around for a home loan. Many lenders offer different interest rates, terms and qualifications. Also note that individuals still must show proof of being able to afford and make monthly payments on the home loan to qualify for this loan. Not every military professional will qualify for a home loan.

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