The New VA Loan
June 17, 2025
The VA Loan update
This article gives a condensed version of the VA loan guidelines. The VA loan is a comprehensive product that many lenders fail to understand or review as they qualify a service member or veteran. One of the best practices for a service member or veteran is to compare lenders, as some will have a much more robust understand of this loan compared to others. It is also a good practice to hire an agent who is familiar with the VA guidelines in the event your lender lacks knowledge that may be crucial to your eligibility or purchase of a home.
To be eligible for the VA loan, a member must serve 90 days war time or 181 days of peacetime.
The 24 month rule - a member must have an honorable or general discharge to be eligible.
Reserves and National Guard - 6 years of service. Must be an honorable discharge, retired list, transferred to other honorable service, or still serving in the reserves or guard. If a reservist activates, they are automatically eligible.
MYTH BUSTER: You can use the VA loan more than once and at multiples times.
The VA loan is for primary residences ONLY. Not investment properties. However, if a service member wants to purchase a duplex, triplex or quadplex, as long as the service member occupies one of the residences, the VA loan may be used to purchase a multifamily property. Know that 75% of the rental income can be used to qualify the multifamily property.
The VA loan requires that the service member/veteran intends to occupy the property for 1 year.
Condotels and Co-ops do not qualify for VA loans.
Leasehold properties must have an excess for 14 years on the leasehold term to include the term of the mortgage. (Example: 30 year fixed loan + 14 years = 44 years on the leasehold at minimum).
There is NO LOAN LIMIT if the service member/veteran has full entitlements.
Second tier entitlements refers to the entitlements left while currently holding a VA loan on a property or properties.
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