Frequently Asked Questions
How much can I borrow with a VA loan?
VA loan limits vary by county, but in most areas, you can borrow up to $766,550 with no down payment in 2024. In high-cost areas, the limit can be higher. There's no maximum loan amount, but you may need a down payment for loans exceeding the county limit.
What is the VA funding fee?
The VA funding fee is a one-time fee that helps offset the cost of the VA loan program to taxpayers. For first-time users, it's typically 2.3% of the loan amount. The fee can be rolled into the loan amount and is waived for veterans with a service-connected disability rating of 10% or higher.
Can I use a VA loan more than once?
Yes, you can use your VA loan benefit multiple times, as long as you've restored your entitlement. The funding fee is higher for subsequent use (3.6% for regular military, 1.85% for National Guard/Reserve).
What credit score do I need for a VA loan?
The VA doesn't set minimum credit score requirements, but most lenders look for scores of 620 or higher. Some lenders may work with lower scores if you have strong compensating factors like a low debt-to-income ratio or significant cash reserves.
Can I get a VA loan with bad credit?
Yes, VA loans are more forgiving of past credit issues than conventional loans. Lenders focus on your recent payment history and overall financial picture. A 12-month clean payment history can help offset previous credit problems.
How long does it take to close on a VA loan?
VA loan closings typically take 30-45 days from application to closing. The timeline can vary based on property type, documentation completeness, and lender efficiency. VA loans don't take significantly longer than conventional loans when working with experienced lenders.
Can I use a VA loan for investment properties?
No, VA loans are intended for primary residences only. You must certify that you intend to occupy the property as your primary home. However, you can use a VA loan to purchase a multi-unit property (up to 4 units) as long as you live in one of the units.
What types of properties can I buy with a VA loan?
VA loans can be used to purchase single-family homes, condos, manufactured homes, and multi-unit properties (up to 4 units). The property must meet minimum property requirements (MPRs) set by the VA to ensure it's safe, sanitary, and structurally sound.