Benefits & Steps to Obtain a VA Loan

Determine eligibility and entitlement
Obtain a Certificate of Eligibility and proof of service.
Qualify for the VA home loan
Prequalification can speed up the approval process. Buyers should look for lenders who welcome military borrowers and know VA financing procedures. It pays to compare loan costs and terms.
Find the right home, make an offer, sign a sales contract
The home must be a primary residence, single-family, condo, or maximum 4-unit multifamily (owner must occupy one unit). Manufactured homes (mobile homes) qualify. No vacation homes, businesses, or farms.
Arrange home inspections
The property must be safe, structurally sound, and have functioning mechanical systems. The buyer should accompany the inspector. Not required by the VA.
Request a property appraisal
The VA Regional Office assigns an appraiser. The appraiser may or may not know the local market. If the appraised value is less than the loan amount, the borrower can make up the difference in cash or negotiate new price with the seller.
Obtain homeowner’s insurance
Like conventional loans, homeowner’s insurance is a requirement for closing escrow.
Pay fees and closing costs
The seller may provide concessions up to 4% of the property’s value, including the funding fee, and pay closing costs.
Close the sale
The buyer pays the VA funding fee and lender’s origination fee or itemized expenses. The real estate professional’s commission must be paid only by the seller.