VA Loan FAQs
VA Home Loans Frequently Asked Questions
How large of a VA loan can I qualify for?
VA loans can be used to finance homes up to $2,000,000, but the amount a borrower qualifies for depends on several factors: VA entitlement, income, existing debts, and credit history. Because every borrower's situation is different, the qualifying amount varies from person to person. The most accurate way to find out how much you will qualify for is to talk with a loan officer who understands VA guidelines and can walk you through the numbers directly. Call us, and we'll help you find out where you stand.
Can I have more than one VA loan?
Yes. VA guidelines allow veterans to hold more than one VA loan at the same time, as long as you have remaining entitlement and your income and debts support the additional payment. This comes up most often when a veteran is relocating with a permanent change of station, keeping a current home as a rental, or has paid off a prior VA loan and wants to use their benefit again. Since eligibility and qualifying amounts vary by situation, give us a call and we'll walk through your specific entitlement and what you qualify for.
Do VA loans take longer to close?
No. With an experienced VA loan officer, VA loans close in the same timeframe as conventional loans. At First Equity, the standard timeline from application to closing is 30 days. The idea that VA loans take longer usually comes from lenders who don't handle them regularly and aren't as familiar with the process. Working with someone who closes VA loans routinely keeps your timeline on track.
Is the seller required to pay my closing costs?
No. Sellers aren't required to cover any of your closing costs, but it can be negotiated as part of your purchase offer. VA loans do allow the seller to pay all of the buyer's loan-related closing costs if that's agreed upon in the negotiation. It's also worth knowing that some lenders tack on additional charges to a VA transaction. First Equity doesn't, which keeps your closing costs lower and the process simpler.
Does VA have property restrictions?
VA doesn't restrict the type of home you can buy. The VA home loan is a benefit earned through service, and the VA wants veterans to be able to purchase the home they want. The one exception is safety and condition: if a property has obvious defects, such as a failing roof, a furnace near the end of its life, or other safety issues, the VA will require those repaired before closing. This requirement exists to protect the veteran, ensuring you're not moving into a home with hidden, costly problems.
What Is the VA funding fee, and who Is exempt?
The VA funding fee is a one-time fee charged on VA loans, and it can be rolled into your loan rather than paid out of pocket. The fee ranges from 0.5% to 3.3%, depending on your loan type, down payment, and whether it's your first time using your VA benefit. Veterans receiving VA disability compensation are generally exempt from paying it. Since the exact amount and exemption status depend on your individual eligibility, call us and we'll tell you exactly what applies to your situation.
How do I get my certificate of eligibility?
We can help. You don't need to track this down on your own. First Equity has direct access to the VA's eligibility system and can order your Certificate of Eligibility (COE) for you as part of the loan process. This confirms your VA benefit is active and shows the lender how much entitlement you have available.
Is there a minimum credit score for VA loans?
There is no minimum credit score for VA loans, but lenders do want to see a history of on-time payments. Give us a call and we'll review your credit with you, so you know exactly where you stand. If you don't qualify today, we'll map out a clear plan to get you there.
How much money do I need to get a VA loan?
VA home loans require no down payment, but there are still other costs involved: closing costs, tax prorations to the seller, realtor fees, homeowners insurance, and escrow setup. These costs can be negotiated so the seller covers them, and in many cases you can close with zero cash out of pocket. Give us a call, and we'll find a way to make the numbers work for you.