This BLOG On Obtaining Certificate Of Eligibility To Qualify For VA Loans Was PUBLISHED On May 30th, 2019
VA Home Loans are the best mortgage loan program in the United States.
- However, VA Loans is not for everyone
- Our government created and launched VA Loans to reward the brave men and women of our United States Armed Services to enable them to purchase a home with no money down and 100% financing
- The VA has much lenient mortgage lending requirements with regards to credit and income versus other loan programs
- Mortgage Rates on VA Loans are lower than any other loan program
- Borrowers do not have to come up with closing costs in most cases
- Closing costs are often covered by sellers concessions and/or lender credit
- The VA allows up to 4% in sellers concessions by sellers to cover home buyers closing costs
- Borrowers need to be active and/or retired members of one of the branches of the United States Military with a valid Certificate Of Eligibility (COE)
- Obtaining Certificate Of Eligibility (COE) is easy
- It can be obtained online by logging in the VA COE Portal
- Through the VA COE Portal, the borrower can see if they qualify and what their eligibility is
- Or the loan officer can help borrowers in Obtaining Certificate Of Eligibility
In this blog, we will discuss qualifying for VA Loans and Obtaining Certificate Of Eligibility. We will also explain in obtaining certificate of eligibility for borrowers. Our loan officers at Gustan Cho Associates normally help borrowers in obtaining certificate of eligibility for borrowers. Just because borrowers go in obtaining certificate of eligibility from the VA does not mean they automatically qualify for VA Mortgages. Borrowers need to meet the VA Guidelines and meet the lender’s qualification requirements.
Minimum VA Eligibility Requirements
All borrowers need to meet the minimum VA Eligibility Requirements mandated by the United States Department of Veterans Affairs (The VA) to qualify for VA Loans.
- However, lenders may have additional lending requirements that are above and beyond VA Agency Guidelines
- These additional lending requirements are called lender overlays
- Gustan Cho Associates has no lender overlays on VA Loans
Here are the minimum VA Agency Guidelines:
- 100% financing with no down payment required
- No closing costs if the borrower can get a sellers concession and/or lender credit
- No minimum credit score requirement
- No maximum debt to income ratio requirements as long as the borrower can get an AUS Approval
- 2 years out of bankruptcy, foreclosure, deed in lieu of foreclosure, short sale
- Borrowers can qualify for VA Loans during Chapter 13 Bankruptcy Repayment Plan via manual underwrite with Trustee Approval
- There is no waiting period after Chapter 13 Bankruptcy discharged date with manual underwriting
- Any discharge seasoned less than 24 months after Chapter 13 Bankruptcy discharge are manual underwrites
- Outstanding Collections and Charge Off Accounts do not have to be paid off to qualify for VA Home Loans
How To Go About In Obtaining Certificate of Eligibility
Not all active and/or retired members of the U.S. Military are awarded a Certificate Of Eligibility. Only veterans with a Certificate Of Eligibility can qualify for VA Loans. Michael Gracz, the National Sales Manager of Gustan Cho Associates issues the following statement on how to go about in obtaining certificate of eligiblity:
A DD 214 form is required and a copy should be given to whoever is obtaining the VA COE and this applies to the following: Veteran, current or former National Guard, or Reserve member. For Active Duty Service member and Current National Guard or Reserve members who have never been 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 showing 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.
Furthermore, Mike Gracz adds:
For discharged members of the National Guard who have never been activated for federal active 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. For discharged members of the Selected Reserve who have never been activated for Federal active service: Copy of latest annual retirement points statement; and Evidence of honorable service.
With regards to surviving spouses of veterans, the following apply:
For surviving spouses in receipt of Dependency & Indemnity Compensation (DIC) benefits: Submit VA form 26-1817. DD 214 if available. For surviving spouses that are not receiving DIC benefits: VA Form 21-534. DD 214 if available. Marriage License. Death Certificate or DD form 1300.. Mail to the appropriate address by following PMC States
How To Apply For A Certificate Of Eligibility
Before a pre-approval letter is issued on a VA Loan, the loan officer should make sure he or she has all the proper paperwork. Borrowers can apply for the COE online through the eBenefits portal if the borrower wants to get their COE by themselves without the help of the lender. Most lenders help borrowers in obtaining certificate of eligibility through the WebLGY system.
- The WebLGY system permits lenders to locate an eligible borrower to search for their certificate of eligibility if one already exists or order a new certificate of eligibility
- The search is done by searching the veterans name and social security number
- If there are no results, then a new certificate of eligibility needs to be ordered
Lenders are experts in getting the COE for borrowers.
How To Get A Copy Of A Lost DD214
Alex Carlucci, a Senior Vice President of Gustan Cho Associates, is one of the top producers of VA Mortgages at Gustan Cho Associates Mortgage Group. Alex Carlucci also is a contributing associate editor at Gustan Cho Associates Media Group. Alex has helped countless of borrowers who lost their DD214 get a copy so they can start the VA Mortgage Process. Alex has issued the following statement on how to get a copy of a lost DD214:
The NPRC holds historical Military Personnel records of nearly 100 million records and a majority of these records are paper-based. There are a few options when obtaining a DD 214: Borrowers can request a copy online by visiting the National Archives Website by going to the section to request DD 214/Seperations documents eVetRecs (Online). Can request by filling out the Standard Form 180 (SF-180) and mailing to the following address: Here is the NPRC mailing address: National Personnel Records Center Military Personnel Records | 1 Archives Drive | Saint Louis, MO 63138 | Phone 314-801-0800. Or fax the standard form (SF 180) to: 314-801-9195. DD 214 response time varies and talking to an experienced Mortgage Loan Originator will help with the VA loan process. After the request has been made, a Veteran can check the status of the military service records requests.
For more information on this topic or other mortgage-related topics, please contact us at 262-716-8151 or text us for faster response. Or email us at firstname.lastname@example.org. The Team at Gustan Cho Associates Mortgage Group is available 7 days a week, evenings, weekends, and holidays.