What are the Loan Requirements and Eligibility Guidelines in VA?

In this article, we will cover and discuss VA loan requirements and eligibility guidelines. Retired and active-duty members of the U.S. Military need to meet VA Loan Requirements and Guidelines to get their COE. Veterans, Service members, current or former activated National Guard members, or reserve members who meet certain rules can get a COE. Just having served in the military does not entitle borrowers to VA loans. Need an active Certificate of Eligibility.

VA Loans Are The Best Loan Program in the Nation

VA loans are hands down the best mortgage program in the United States. Our government rewards retired and active-duty members of our Armed Services who meet VA Certificate Of Eligibility Guidelines with COE that entitles them to VA Loans. There are no down payment requirements. No monthly mortgage insurance is required. Most borrowers do not have to come up with any closing costs. Closing costs are normally covered by the seller’s concession and/or lender credit.

 VA Home Loans Eligibility Requirements

Borrowers can qualify for VA Loans through a VA-approved mortgage lender. Not all lenders have the same VA loan requirements and guidelines. All borrowers need to meet VA Guidelines set by the U.S. Department of Veterans Affairs. However, each lender may have its own lending requirements called overlays.

What Are Lender Overlays on VA Loans

Overlays are lending requirements that are above and beyond those of VA Guidelines. Capital Lending Network, Inc. is a mortgage company licensed in multiple states with no overlays on VA Mortgages. We just go off VA Guidelines and have no other overlays. Borrowers need an approve/eligible per automated underwriting system. Borrowers who do not get an AUS Approval may qualify via manual underwriting. Capital Lending Network, Inc. does manual underwriting on VA and FHA Loans. To get an approve/eligible per AUS, borrowers need satisfactory credit, sufficient income, and a valid Certificate of Eligibility. Need to meet guidelines on Lenders Handbook – VA Pamphlet 26-7.

How To Obtain Certificate Of Eligibility – VA COE to Qualify Fo Va Loan

Veterans need to meet VA Certificate Of Eligibility Guidelines for them to be eligible for VA COE. Only borrowers with valid VA COE are eligible for VA-backed home loans.  A DD 214 form is mandatory. A copy should be given to whoever is obtaining the VA COE

VA Loan Requirements and Eligibility Guidelines on Eligibility for VA Loans

VA Loan Requirements and Eligibility Guidelines on Eligibility for VA Loans

The following people are eligible for VA Home Loans:

  • Veteran, current or former National Guard, or Reserve member
  • For Active Duty Servicemember
  • Current National Guard and/or Reserve service members who have never been on federal active reserves:
  • Statement regarding current service should be signed by (or direction of) the adjutant, personnel office, commander of the unit, or higher headquarters

Needs to state full name, social security number, date of birth, entry of date on active duty, the duration of any lost time, and the name of the command providing information.

Discharged Members Of The U.S. Armed Services

For discharged members of the National Guard who have never been activated for federal active duty service. NGB Form 22, Report of Separation and Record of Service for each period of National Service; and NGB Form 23, Retirement Points Accounting, and proof of character in service.

Discharged service military members of the Selected Reserve who have never been activated for Federal active service. Copy of latest annual retirement points statement. Proof and documentation of honorable service discharge. Surviving spouses can be eligible for VA Loans. Spouses of surviving veterans in receipt of Dependency & Indemnity Compensation (DIC) benefits. Submit VA form 26-1817. DD 214 if available.

VA Loan Requirements on Surviving Spouses of Eligible Veterans

For surviving spouses that are not receiving DIC benefits:

  • VA Form 21-534
  • DD 214 if available
  • Marriage certificate
  • Death Certificate and/or DD form 1300

Mail to the appropriate address by following PMC States.

Loan Officer Can Help With Obtaining COE

For borrowers who know they qualify for VA Loans but do not have their VA COE, we can help with obtaining their VA COE. Our loan officers can go online to the eBenefits portal. If borrowers feel more comfortable getting the VA COE themselves, they may do so through the WebLGY system.

  • The WebLGY system enables lenders to either locate an existing Certificate Of Eligibility
  • It also allows lenders to request an update of an existing Certificate Of Eligibility
  • Lenders can also order a new Certificate Of Eligibility

How Can You Obtain Your Certificate of Eligibility To Qualify For VA Loans

How Can You Obtain Your Certificate of Eligibility To Qualify For VA Loans

The mortgage process for obtaining a Certificate of Eligibility is as below:

  • The loan officer enters the borrower’s name and Social Security Number (SSN)
  • If nothing comes back about the borrower, a new COE must be ordered by using ACE

Lenders can navigate through this electronic system in a matter of minutes. Borrowers do not have to stress over this. Our team of license and support personnel at CLN can start the process of obtaining a Certificate of Eligibility for a VA Loan.

VA Loan Requirements When Lost DD 214 Replacement

Over 150 million personnel records of U.S. members of our military are helped by NPRC. It is held via electronic and paper format.  Below is the process of obtaining a lost DD 214 Replacement. Can get a copy online by visiting the National Archives Website:

Mail the completed form to the following address: NPRC Mailing Address:

  • National Personnel Records Center
  • Military Personnel Records
  • 1 Archives Drive
  • St. Louis, MO 63138
  • 314-801-0800
  • Or Fax the Standard form (SF 180) to 314-801-9195

Who Can Qualify For VA Mortgages?

Active and retired members of the U.S. Armed Services and surviving spouses of eligible veterans with a VA certificate of eligibility (COE) are eligible to qualify for VA loans. VA loans are the best loan program in the United States. The Veterans Administration (VA) is the federal agency in charge of the administration and agency guidelines of VA loans.  The role of the Veterans Administration is to insure banks, credit unions, and mortgage companies that are approved VA lenders in the event borrowers default on their VA loans.

VA Loan Requirements on the Amount of Entitlement After Prior Foreclosure

If homeowners default and foreclose their homes with a VA loan, the VA will partially cover the loss the lender sustained due to the default. Due to the government guarantee from the Veterans Administration, the lenders aggressively originate and fund VA loans with no down payment required with 100% financing, no monthly mortgage insurance premium, at competitive rates, and lenient mortgage lending requirements. The VA has created extremely generous and lenient agency guidelines on VA loans in order to promote homeownership to active and retired members of the United States Military.

VA Loan Requirements On Who Can Qualify For VA Loans

Not all active and/or retired members of the United States Military are eligible to qualify for VA loans. Veterans need to have an active VA certificate of eligibility (COE) in order to qualify for VA loans. Active duty service members, veterans, and spouses of deceased eligible veterans of our Armed Services are eligible to qualify for VA Home Loans.

VA Certificate of Eligibility and Entitlement

Just serving in one of our branches of the United States Military does not automatically qualify them to be eligible for VA Loans. Only veterans, both active and retired, need to have a VA Certificate Of Eligibility (COE) to qualify for VA Mortgages. Eligibility status is stated on Veteran’s Discharge Paperwork (DD214). In this article, we will cover and discuss the VA Certificate Of Eligibility To Qualify For VA Home Loans.

 The Veterans Administration VA Loan Requirements and Guidelines

Veterans can obtain and request their VA Certificate of Eligibility by completing VA Form 26-1880. Veterans can then request and apply for their VA Certificate of Eligibility. The good news is that most lenders will assist veterans with obtaining their VA Certificate of Eligibility.

The Team at Capital Lending Network, Inc. Help You Expedite Your VA Certificate of Eligibility 

Most lenders have access to the VA website for e-benefits where they can obtain this for their borrowers in a matter of minutes if not seconds. If there are any changes in the status such as marrying another veteran with COE or any other major changes in status, then the case number may not be able to be processed online through the web portal. In situations like those, lenders will submit the VA Form 26-1880 (request for Certificate of Eligibility) directly to the U.S. Department of Veterans Affairs with proof of military service of borrowers.

Proof Of Service And VA Loan Requirements on  Requirements

Proof Of Service And VA Loan Requirements on  Requirements

Here is how proof of service is submitted to The United States Veterans Administration:

If you are still serving on regular active duty, you must include an original statement of service signed by, or by direction of, the adjutant, personnel officer, or commander of your unit or higher headquarters which identifies you and your social security number, and provides your date of entry on your current active duty period and the duration of any time lost.

Veterans discharged from regular active duty after January 1, 1950, should attach a copy of DD Form 214 and/or Certificate of Release or Discharge From Active Duty to VA Form 26-1880 when requesting COE.

  • Veterans discharged after October 1, 1979, should include DD Form 214 copy 4
  • Also, provide and submit copies of documents and save the original in the event it gets lost

Reservists And National Guard Service Members

Reservists and National Guard Service Members can qualify for the VA Certificate Of Eligibility after six years of service. Veterans from the Air Force and/or Army National Guard can provide NGB Form 22, Separation Report, and Service Record and/or NGB FORM 23 or its equivalent including Retirement Points Accounting. Selected Reservists may provide the most latest annual points statement of service. Bottom line is that six years of continuous honorable service is mandatory to be eligible for the VA Certificate Of Eligibility.

VA Loan Requirements And Qualification Guidelines On VA Certificate Of Eligibility Benefits

VA Loans is the best mortgage loan program in the U.S. Only select members of our military and spouses of deceased veterans can qualify for VA loans. 100% financing with no down payment on owner-occupant home purchases. No annual mortgage insurance on VA loans. VA mortgage rates are normally lower than conforming loans. All mortgage loan programs have a minimum credit score requirement with the exception of VA loans.

VA Loan Requirements on Credit Scores

There are no credit score requirements nor debt to income ratio caps on VA loans. Veterans with no credit scores can qualify for VA loans using non-traditional credit tradelines. Outstanding collections and charged-off accounts do not have to be paid to qualify. There are no maximum loan limits on VA loans. However, veterans can purchase higher-end homes and get larger VA loans.

Start Your Qualification And Pre-Approval Mortgage Process At Capital Lending Network

Start Your Qualification And Pre-Approval Mortgage Process At Capital Lending Network

The mortgage qualification and pre-approval process is the most important step of the mortgage process. The main reason for a last-minute mortgage loan denial is due to the borrower not being properly qualified and getting issued a pre-approval without being properly qualified. Active duty and retired members of the United States Military and eligible surviving spouses of veterans with active VA Certificate of Eligibility can contact us at Capital Lending Network to get qualified. Over 75% of our borrowers could not qualify for VA loans at other lenders due to lender overlays.

Get Pre-Approved Today If You Meet The Minimum Agency VA Loan Requirements and Eligibility Guidelines

If you want to start the qualification and pre-approval mortgage process at 800-900-8569 or text us for a faster response. Or email us at contact@capitallendingnetwork.com. Capital Lending Network has no lender overlays on government and conventional loans. We do not have a single layer of lender overlays on VA loans.

VA Lender With No Lenders Overlays on VA Loan Requirements

The team at Capital Lending Network has closed thousands of VA loans with credit scores down to 500 FICO and a debt to income ratio exceeding 60% DTI. A large percentage of our borrowers are folks who need manual underwriting on VA loans. We can help borrowers with late payments in the past 24 months. VA loans have very generous and lenient mortgage agency guidelines with regards to late payments, bad credit, lower credit scores, and outstanding collection and charged-off accounts. Our team of licensed and support personnel at CLN  is available 7 days a week, on evenings, weekends, and holidays.


Gustan Cho is a senior mortgage expert and National Managing Director, providing direct-to-consumer advice at NEXA Mortgage LLC. We are a mortgage brokers licensed in multiple states. We are experts in FHA Loans, VA Loans, USDA Loans, Conventional Loans, FHA 203k Loans, Reverse Mortgages Jumbo Mortgages, Non-QM mortgages, Bank Statement Mortgage Loans for self employed borrowers, and alternative financing.