Virginia VA Loan Requirements

Virginia VA loan requirements has the most lenient mortgage guidelines versus any other loan program in the nation. VA loans is the mortgage loan of choice but is only limited to active and/or retired members of the U.S. Military with a valid certificate of eligibility. Alex Carlucci, a senior mortgage loan originator at Gustan Cho Associates says the following about Virginia VA loan requirements:

Virginia has one of the highest population of active, and retired members of the U.S. military. Many veterans in Virginia are homeowners due to the lenient Virginia VA loan requirements such as no credit score minimums.

There is no down payment requirement and no annual mortgage insurance premium on VA loans. VA loans has no maximum loan limit. There is no minimum credit score requirement or maximum debt-to-income ratio cap on VA loans. In the following paragraphs, we will cover Virginia VA loan requirements.

Buying a Home in Virginia With a VA Loan

Virginia is one of the fastest-growing states in the nation. Unlike Florida, Texas, Georgia, Colorado, Kentucky, Michigan, Pennsylvania, New Jersey, and countless other states, Virginia has not seen a double-digit appreciation of home prices.

With the major shortage of homes versus demand, Virginia home values are destined to go up in value in the coming months.

Virginia also has seen a huge wage of veterans of our military migrate to this great state. With the economy growing, the major demand for jobs, lower home prices, and a great school system, all counties of Virginia are attracting our military veterans to call this Great State Home. Gustan Cho Associates is a national mortgage company with no overlays on VA Home Loans and licensed in the state of Virginia. Qualifying for VA loans in Virginia with a lender that has no lender overlays.

Virginia VA Loan Requirements For First-Time Homebuyers

There are many VA loan programs that are available for Veterans of the United States Military who have a Certificate of Eligibility. VA loan programs are for Veterans with a valid Certificate of Eligibility, often referred to as COE.

Here are the benefits of VA Loan Programs:

• Veterans with COE who are first time home buyers
• Borrowers with COE who are seasoned homeowners selling and buying a new home
• Homeowners who plan on doing a 100% cash-out refinance on their existing home
• Homeowners who are planning on refinancing their current home for a lower interest rate so they can lower their payments
• Disabled Veterans who need to make their current home accessible for their disability

Virginia VA Loan Requirements and Benefits of VA Loans

VA Loans is the best mortgage loan program in the United States:

• No down payment is required on a VA home purchase loan
• Mortgage rates are extremely competitive
• VA loans also does not have mortgage insurance requirements like other loan programs

How Can I Qualify For VA Loans in Virginia? Veterans With VA Certificate of Eligibility

However, VA Loans are limited to Veterans with a valid Certificate of Eligibility or COE. Here are the benefits of VA Loan Programs:

• No down payment is required
• VA Loan Programs is available for only owner occupant primary homes only
• Second homes and investment homes do not apply
• Buyers can buy a single-family home, condominium, townhome, and two to four-unit properties
• Veteran homeowners with a valid COE can refinance their current home mortgage
• Can do a 90% cash-out refinance on single-family homes

Home Purchase VA Loan Programs

Home purchase VA loan programs allow Veterans with a valid Certificate of Eligibility to purchase an owner-occupied primary single-family home, condo, townhome, or two to a four-unit property with zero down payment. A VA loan is one of the great benefits only Veterans get for their service to their country where others do not get this privilege.

Features of VA Loans versus Other Mortgage Options

Other great benefits of VA Loan Programs are the following:

• VA Loans do not require mortgage insurance premiums like FHA loans.
• Conventional loans require private mortgage insurance on loan to value is greater than 80% LTV.
• VA Loans do have a one time VA Funding Fee.
• But the VA Funding Fee can be rolled to the loan balance.
• VA Loans offer the lowest interest rates.
• Rates are lower than Conventional loans.
• VA Loan Limits are the same as those of Conventional loans.
• VA loans can be reused over and over for homebuyers.
• They are not just limited to a first time homebuyers.
• Allows sellers concessions of up to 4% to homebuyers.
• Borrowers can purchase a home with absolutely zero money out of pocket with the combination of no down payment for the home purchase and no closing costs.
• This is because closing costs can be covered by seller concessions and/or lender credit.
• VA loans are assumable.

Virginia VA Loan Requirements on Refinance

Below are the VA refinance mortgage loan options:

• Rate and term full credit/income refinance
• Cash-Out Refinance VA Loan Programs
• Interest Rate Reduction Refinance Loan VA Loan Programs which is also commonly referred to as IRRRL

VA Cash-Out Refinance

The VA Cash-Out Refinance program allows Veterans with a valid COE to do a cash-out refinance loan with a VA Loan.
Here is how Cash-Out Refinance VA Loan Programs work:

• The existing mortgage does not have to be a VA Loan
• Need to meet all VA Lending Guidelines
• VA allows up to 100% LTV cash-out refinance
• Borrowers will be hit with a VA Funding Fee for refinancing
• VA Funding Fee can be added to the Loan balance
• Borrowers can do anything they need to do with the cash out from the VA refinance mortgage

Proceeds can be used for the following:

• vacation
• pay down a second mortgage or HELOC
• remodeling to their home
• purchase a car
• consolidate debts
• use funds for investments
• pay down credit card debts
• purchase a second home

What Is The VA Interest Rate Reduction Refinance Loan or IRRRL?

The interest rate reduction refinance loan program also referred to as IRRRL. It is a streamline refinance VA loan program that is only available for homeowners who already have a current VA loan.

Homeowners who want to refinance their VA loan into another VA loan with limited documents to lower their mortgage rates. This reduces their monthly mortgage payment.

Veterans with an existing fixed rate VA mortgage can refinance into another lower rate fixed rate VA loan. Veterans with an adjustable-rate mortgage, ARM, can refinance their ARM VA loan into a fixed-rate loan.

VA IRRRL (VA Streamline Refinance)

Here are how Interest Rate Reduction Refinance Loan Programs work:

• The current loan needs to be a VA loan.
• IRRRL needs to be a VA loan being refinanced into a new VA loan where the borrower has already used a VA entitlement.
• A new home appraisal is not required with IRRRL.
• No credit scores are necessary.
• The only thing required is that the current mortgage has been paid on time.
• 12 months on-time payments on the current mortgage is required.
• Can only do a rate and term refinance.
• Cash-out refinance is not permitted with IRRRL.
• Certificate of Eligibility.
• A new COE is not required on an IRRRL.
• No money out of pocket is required by homeowners.
• Closing costs can be rolled into the new loan or a lender credit can be given.
• The funding fee is .05% on an IRRR.

Virginia VA Loan Requirements

Discover VA loan requirements in Virginia for 2025. Get details about eligibility, benefits, credit scores, income, and property criteria.

Introduction to Virginia VA Loan Requirements

For many veterans, active-duty personnel, and surviving spouses, purchasing a home in Virginia is a lifelong goal. VA loans, backed by the U.S. Department of Veterans Affairs, make this dream more affordable by offering no down payment, no private mortgage insurance (PMI), and competitive interest rates. However, knowing the Virginia VA loan requirements is crucial to unlock these advantages.

This guide simplifies the eligibility, income, credit, and property guidelines for VA loans in Virginia. With this information, you can take the next confident step toward homeownership.

VA Loan Requirements on Eligibility in Virginia

Military Service Requirements

To qualify for a VA loan in Virginia, you must meet at least one of the following service criteria:

• 90 consecutive days of active duty during wartime.
• 181 days of active duty during peacetime.
• 6 creditable years of service in the National Guard or Reserves.
• Surviving spouse of a veteran who died on active duty or from a service-connected condition.

VA Loan Requirements: Certificate of Eligibility (COE)

The COE proves to lenders that you have served long enough for VA loan benefits.

You can get it from:

• The VA’s eBenefits website.
• Any lender who is VA-approved.
• Mailing in VA Form 26-1880.

Virginia VA Loan Property Requirements

Not every property can be financed using a VA loan. Homes in Virginia must pass these Minimum Property Requirements (MPRs):

• The house must be safe, sound, and sanitary.
• You must use it as your primary residence.
• You can finance a multi-unit building if you occupy one unit.
• VA appraisers will check the roof, structure, electrical, and plumbing.

Credit Score and Income Requirements

Minimum Credit Score

The VA does not set a credit score limit, but lenders in Virginia often want a score of 580 to 620. Some will go lower if your other financial factors are strong.

Debt-to-Income (DTI) Ratio

The VA suggests a DTI of 41% or less, but a higher ratio can work if you have enough leftover monthly income. Residual income is the cash left after you pay all your monthly bills. Lenders examine this number to determine whether you can still afford everyday expenses.

Loan Limits in Virginia

2025 VA loan limits will be gone if you have full entitlement. Some county limits could still apply if you’ve used a VA loan before and your entitlement is smaller. In most rural counties, you can borrow more in pricier areas like Fairfax, Arlington, and Loudoun than in other counties.

VA Loan Funding Fee

Most veterans pay a funding fee when getting a VA loan. This one-time charge keeps the loan program going for future veterans.

• First VA loan: 2.15% of the loan amount (if you put no money down).
• Second loan and beyond: 3.3% of the loan amount.
• No fee for: Veterans with a service-related disability and qualified surviving spouses.

Benefits of VA Loans in Virginia

• No down payment in most situations.
• No private mortgage insurance (PMI) saves you a lot each month.
• Lower interest rates than many other loans.
• Easier credit requirements compared to conventional loans.
• Simple refinancing with a VA Interest Rate Reduction Refinance Loan (IRRRL).

How to Apply for a VA Loan in Virginia

• Confirm your eligibility by checking your service records.
• You can get your Certificate of Eligibility (COE) online or request it from your VA lender.
• Get pre-approved with a lender that participates in the VA program.
• Locate a VA-eligible home anywhere in Virginia.
• Finish the VA appraisal and underwriting steps.
• Close the loan and settle into your new home.

Common Questions on Virginia VA Loan Requirements

What’s The Lowest Credit Score I Can Have for a VA Loan in Virginia?

Most lenders require a credit score of 580–620, but there is no official VA minimum.

Do I Have to Make a Down Payment With a VA Loan in Virginia?

No. Most VA borrowers can get a loan with no down payment.

Can I Use a VA Loan to Purchase Land in Virginia?

VA loans are for primary homes only, not for vacant land. You may use one for a construction-to-permanent loan under certain conditions.

Are VA Loan Limits Higher in Northern Virginia?

If you have full entitlement, there are no limits. Borrowers with reduced entitlement fall under the conforming county loan limits, which are higher in Fairfax, Arlington, and Loudoun counties.

What is Residual Income for VA Loans?

Residual income is the cash you have left over after you pay your debts, housing costs, and other monthly obligations. It proves you can afford everyday living costs, like food and gas, without financial strain.

How Do I Get a Certificate of Eligibility (COE)?

To get your COE, visit the VA’s eBenefits portal, ask your lender for help, or fill out VA Form 26-1880 and send it to the VA.

Can I Have More Than One VA Loan in Virginia?

If you have remaining entitlement, you can have more than one VA loan. However, your new loan may need to stay under the county loan limits.

Do VA Loans Require Mortgage Insurance?

No, VA loans never require private mortgage insurance (PMI). This saves you money each month compared to FHA or conventional loans.

What Fees Are Involved With a Virginia VA Loan?

Typical fees include a funding fee, lender fees, appraisal fees, and closing costs. The nice part is that many of these fees can be added to your loan amount.

Can Surviving Spouses Use a VA loan in Virginia?

Yes, unremarried surviving spouses of veterans who died on active duty or from a service-related disability can still apply for a VA loan in Virginia.

Mortgage borrowers interested in qualifying for a VA loan in Virginia, please contact Gustan Cho Associates at 800-900-8569 or text us for a faster response. Or email us at gcho@gustancho.com. We have no overlays on VA loans. We just go off the automated finding per Automated Underwriting System. We are available 7 days a week, evenings, weekends, and holidays to take your VA loan inquiries.