If you’ve ever applied for a VA home loan, you know you need a certificate of eligibility. It’s a small thing, but it can derail any loan if not handled properly.
VA home loans are for veterans, active duty military personnel, and their surviving spouses only. With no down payment required, these loans are a small way of saying, “thank you,” to the men and women who put their lives on the line for our freedom.
What is a VA Home Loan Certificate of Eligibility?
The VA home loan certificate of eligibility is a document that establishes whether or not you’re eligible for a VA home loan. Also known as a COE, the letter lets the lender know you are able to secure a loan backed by the U.S. Department of Veteran Affairs.
How to Get a VA Home Loan Certificate of Eligibility
First, you will need to compile several documents. These documents differ depending on whether you’re a veteran, active-duty servicemember, reservist, member of the national guard or a surviving spouse. A complete list of the required documents can be found here.
Once you have all your paperwork in line, you will need to apply for a COE. Most lenders have access to the online system. This Internet-based application can establish eligibility and issue an online COE in a matter of seconds.
Once you have obtained your VA home loan certificate of eligibility, you’re free to apply for a home loan. Purchase, refinance, construction and any other loans backed by the VA require a COE to move forward.