VA Loan FAQs

We have the answers to the most common VA loan questions

Have questions about how to apply for a VA loan?

We have answers. Please feel free to reach out directly to our loan officers if you have further questions. We look forward to hearing from you!

There is no limit to the number of times a borrow can take advantage of VA loans as long as they still have money available in their entitlement or have paid off any previous VA loans and have restored their entitlement. Another scenario is your VA loan has been assumed by another veteran, which will restore your entitlement.

VA loans take no longer to close than a conventional loan. In most cases, you can close within 45 days. An Interest Rate Reduction Refinancing Loan (IRRRL) can be closed in as little as 30 days.

With your VA home loan, you may purchase a home with no money down with a purchase price up to your specific county limit. You can find more information on specific VA loan county limits at or by contacting a NASB VA loan officer. 

There is no VA loan limit. However, depending on the purchase price or balance of the loan you wish to refinance, you may be required to make a down payment or in the case of a refinance, you may be required to have additional equity. Contact a NASB VA loan officer for further details.

In many cases, eligible borrowers will qualify for a VA refinance with little or no equity in their home. If you have an existing VA home loan, then it’s possible to qualify for an Interest Rate Reduction Refinance Loan (IRRRL) that requires no appraisal. So if you’re upside down on the home or have little equity, you may still be able to refinance. In some cases, if you have an FHA or conventional loan, the VA will allow 100% loan-to-value (LTV), so the home will need to appraise for what you owe on it. If the home appraises for less than you owe, then you may need to bring cash to closing to cover the difference. Contact NASB lender for further details.

No, a VA loan is guaranteed by the U.S. government. This is the “benefit” part of your VA Loan. You can purchase a home with no equity and pay no monthly mortgage insurance premiums.

You may either finance the cost of the refinance into your loan amount, or the lender may pay your closing costs. You are not required to have cash in the transaction to qualify for an Interest Rate Reduction Refinancing Loan.

A VA Interest Rate Reduction Loan, or IRRRL for short, is a simplified way for veterans to get their VA refinance loan approved. Also called a VA streamline refinance, an IRRRL doesn't require an appraisal or go through the typical VA underwriting process, because the lender uses the information from the original VA mortgage loan. Here's more information.

Yes, it is possible to get an Interest Rate Reduction Refinancing Loan (IRRRL) on a non-owner occupied home.

You certainly can! You can pay off your VA loan early with no fear of any pre-payment penalties.
Members of the military, whether on active duty, veterans, or otherwise eligible, have access to VA loans, which offer several benefits to borrowers. There is usually no down payment or private mortgage insurance required, it is easier to qualify, the interest rates are competative and closing costs are lower. Here's a blog that can tell you more.

There are minimum service requirements for former service members, depending on when they were on active duty:

World War Two (1940-1947) - Minimum 90 consecutive days of service
Peacetime (1947-1950) - 181 days
Korean War (1950-1955) - 90 days
Post-Korean War (1955-1964) - 90 days
Vietnam War (1964-1975) - 181 days
Post-Vietnam War (1980-1990) - 181 days
Persian Gulf War (1990-present) - Two years (or no less than 90 days of the full amount of time called for duty) You might still be eligible even if you didn’t reach the minimum time in service requirement. For example, if you were discharged early due to a disability that was related to your service, you are still eligible.

For those who haven’t left service, or are the surviving spouse of a service member killed in the line of duty, the eligibility requirements are:
Active Duty - 90 consecutive days in service (or 181 days in peacetime)
Active Reserve/National Guard - Minimum six years
Unmarried spouse - No minimum service time required if the spouse was killed in the line of duty
The spouse of a veteran who was MIA/POW - At least 90 days have passed since the Veteran was POW/MIA

Here's a blog that explains more.

Every active duty member is issued a DD Form 214 when they are separated from the military, and most reservists are issued a DD Form 256. You can also get a military records request from the National Archives that maintains most records.
There is no VA loan limit. However, depending on the purchase price or balance of the loan you wish to refinance, you may be required to make a down payment or in the case of a refinance, you may be required to have additional equity. Contact a NASB VA loan officer for further details.
There’s no minimum income requirement for a VA loan. However, you do need to have an acceptable debt-to-income ratio (“DTI”). This DTI takes your monthly debts and divides it by your gross monthly income.
Another income-related requirement relates to residual income. This is the amount of income that’s left each month after all other expenses have been paid. This remaining amount should cover food, transportation, and other basic living costs. The amount of residual income that the VA requires to qualify for their program will vary by location and family size.
Keep in mind that although the VA doesn’t set credit score minimums, lenders may have specific credit score requirements. Here's a blog that tells more.
A VA home loan may require additional documentation compared to other conventional mortgages. One important document is your Certificate of Eligibility (COE). This document verifies you are eligible for a guaranteed VA home loan and a VA direct lender can obtain the COE for you.
Yes, you can, although conventional loans typically have high interest rates and can charge monthly private mortgage insurance premiums. One reason to refinance a VA loan to a conventional loan is so that the borrower can use their VA credit to buy a rental home for extra income. Veterans only get one credit to purchase a home and this frees up their credit so that they can purchase a second one.

VA loan closing costs will vary from loan to loan, but generally you will not have to make a down payment, and the fees may include:

  • Origination charge - 1% of loan amount to cover processing and underwriting costs Appraisal fee - Usually around $525 but can vary by location
  • Title fee - Title insurance to protect the lender and buyer
  • Discount points - Paid at closing at the discretion of buyer to lower interest rate Credit report - Shouldn't exceed $50
  • Inspection fees - Might be covered by seller
A Certificate of Eligibility is used to prove to the lender that the buyer has met the VA's service requirement. There are three ways to get one:

1. Ask the lender - they can tap into a database and obtain it relatively quickly
2. Apply online - Go to the eBenefits portal 
3. Apply through mail - Print this form and return to the address on the form
Yes, in fact Veterans can have access to a VA Loan faster after a bankruptcy, foreclosure or short sale than other loan types. Eligibility for a VA loan can begin two years after a Chapter 7 bankruptcy discharge, one year after a Chapter 13 bankruptcy, and only two years after a foreclosure.
Instead of requiring mortgage insurance, VA loans have what is called a funding fee. This one-time charge is usually between 1.25% to 3.3% of the loan amount. The amount of the funding fee is based on length of service, how is being put down, and if the borrower ever had a VA-backed loan before. Here's a funding fee chart to help determine what the cost will be.
Yes! You can roll the funding fee into your total loan amount.
This is an assessment of the property's value and condition done by a independent VA appraisal professional. This is not the same as an inspection; the appraisal is done to make sure the home is worth the value you've offered to pay for it, and to make sure it meets both the VA and lender guidelines.
The VA doesn't require a minimum credit score. However, the lender will usually have credit requirements that the home buyer must meet. Most VA-approved lenders require a credit score of at least 620.
Cindy L.
My experience with NASB was exceptional. Everyone went above and beyond. They made the transition from applying for a loan to finalizing very easy and stress free.

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More than 15% of NASB’s loan officers are veterans

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Since 2010, NASB has helped over 26,000 veterans get loans

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