VA HOME LOANS
First off what’s
a VA Home Loan?
The VA program was created with the signing of the GI Bill by Franklin D. Roosevelt on
It was intended to stimulate jobs in the housing industry, as well as providing assistance for veterans and their families.
At that time, the maximum loan amount was $2,000; 50% of that guaranteed by the government.
June 22, 1944.
Veterans are eligible for a VA Guaranteed Home Loan because of the military service he or she has given to the United States.
Eligibility is based on length and character of service.
Entitlement is the amount available for a veteran to use with a VA Guaranteed Home Loan.
VA provides a basic entitlement which is $36,000 that will cover all loans up to $144,000.
A veteran’s entitlement may be reduced if used before and not restored.
A veteran may receive a Certificate of Eligibility and on that form it will provide the veteran’s entitlement.
Who is Eligible?
National Guard / Reserves
Public Health Service Commissioned Corps Officer
Service members of various military academies (West Point, Naval Academy, Air Force Academy, etc.)
2 years of continuous active duty (enlisted after 9/7/80; if Officer, after 10/16/81). If discharged, must have at least a discharge “Under Honorable Conditions”
6 years of combined service in the Selected Reserves or National Guard. If discharged must have at least an “Honorable” discharge. It is important to note that Reservist/National Guard boot camp does count towards the 6 year requirement.
181 days of continuous active duty during peacetime for the following periods (7/26/47 – 6/26/50 or 2/1/55 – 8/4/64 or 5/8/75 – 8/1/90)
90 days of continuous active duty, called to active duty under U.S.C. Title 10. If discharged must have at least a discharge “Under Honorable Conditions”
Active duty and Reserve/NG service cannot be combined.