Veterans Day is an American public holiday honoring veterans for their service to their country. It’s a day dedicated to commending American servicemen and women who have and continue to serve in the U.S. military. But, a single day of gratitude isn’t all that’s done to commend those that put their lives on the line to serve their country.

The Department of Veteran Affairs also offers Veteran Home Loans. 

What is a Veterans Home Loan?


Veterans Home Loans, also known as VA loans, serve very diverse people with one common denominator: service in the Armed Forces of the U.S. 

These loans help servicemen and women to readjust to civilian life and own a home after they’ve completed their years of service.

The loan program was created in 1944, and according to the Department of Veterans Affairs, it’s provided over 18 million home loans to veterans. Veteran Home Loans are particularly beneficial due to the fact that many servicemen and women are deployed and spend a significant amount of time abroad. This means they don’t have the chance to establish a credit rating that could allow them to borrow like civilians. The loan program provides military personnel with the ability to be at par with civilians when it comes to asset building.

Notable features of the Veteran Home Loan is that it requires no down payment and helps struggling borrowers by renegotiating terms with lenders on behalf of the veterans. They also provide counseling and help military personnel figure out the best approach to repayment to avoid stressful situations like a foreclosure on homes.

How to Qualify for a Veterans Home Loan


To qualify for a VA loan, a service member must provide a Certificate of Eligibility (COE). This is documentation that proves that the person meets the program’s requirement of being either:

  • A veteran
  • Active military personnel
  • A surviving spouse
  • A member of the National Guard
  • A reserve member

After submitting the COE, the loan process is quite straightforward. If the applying officer has misplaced the certificate they can also easily apply for another.

However, it’s crucial to understand that while the COE makes an individual eligible for the loan, it doesn’t automatically guarantee that the loan application will go through. There may be factors that ruin the chances of the loan application sailing through.

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What Can Hinder Your chances of Getting a VA Loan?


So far, it may seem like acquiring a Veteran Home Loan may be easy but there are some common mistakes that need to be avoided so that a loan application isn’t declined:

Paperwork mistakes

Loan paperwork goes through strict accuracy checks by underwriters and the simplest error in the paperwork can create a delay or deny the loan altogether. 

Giving completely accurate information on basic questions like family size and income source is important. Before sending the application, it’s good to review it for any inconsistencies such as listing the wrong social security number and misreporting one’s financial situation.

A poor credit report

Delayed credit card payments and undisclosed debts are among the issues that make a poor credit report. Loan applicants should visit a mortgage company and ask for a soft credit check to see where they stand financially. Remember, any disputes on credit issues can be resolved at the credit bureau through their online portal so it’s good to get ahead of this before applying for the Veteran Home Loan.

Employment history

Changes in employment during the loan process can create the impression that the applicant is not stable, so their income is unreliable. This alone can disqualify loan.

Factors like the length of time in a company, employment status, and compensation all come into play when the loan application is being considered.

Incurring a debt

Any pre-existing debt that’s substantial and indicates the applicant is highly leveraged may result in their loan application being refused. As a result, it’s important to have any other existing loans in good standing or even closed before applying for the Veteran Home Loan. 

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Other Loan Options For Veterans


If Veteran Home Loans aren’t an option or one would like to consider alternative financing, there are other financial products that help provide veterans access credit easily.  

The NAVY Federal Credit Union


This full-service banking facility has been serving the military and their families since 1933 when it began as a facility to meet the needs of NAVY personnel. 

It handles all the banking needs of members and is open to veterans, active-duty military personnel, Department of Defense employees both current and retired, and contractors working in U.S. government installations.

They also welcome immediate and extended family members to all of the above personnel. The Navy Federal Credit Union offers various loan products, including home equity loans and mortgage loans. They also have a straightforward approval process, and the applicant can fill in an online application for the loan.

Their most significant advantage is their wide array of financial products and the vast spectrum 

of the people they cater to. However, the credit union does not cater to particular military personnel needs as the VA loans do.

For example, VA loans do not require service personnel to put down payment before they can get a loan. The VA program understands the unique challenges of veterans and caters exclusively to those needs. 

The Navy Federal Credit Union works with a broader client base that includes civilians with opportunities to improve their credit score and afford a down payment, so they only offer 100 percent financing to veterans on some loans.

Because they understand their limitations in catering exclusively to the loan needs of military personnel, they offer VA loan services as part of their portfolio.

USDA Loans


This is a program that provides loans for American citizens to enable them to purchase a home in rural or suburban areas. It’s a government-backed loan option, and it offers loan applicants very low-interest rates.

This program aims to boost the home-owning capabilities of Americans in a rural area and is a very inclusive program with millions applying for these loans throughout the country.

Similar to USDA loans, Mares Mortgage provides loans for American citizens to enable them to purchase a home in rural or suburban areas.

Given all this, VA loans are still an attractive option to many veterans in the U.S. They provide favorable terms and are likely to close faster than conventional loans. Moreover, most mortgage companies and credit unions all over America help veterans access these loans every day, making them one of the best home-grown financial solutions for veterans.

Ready to buy your first home? Let Mares Mortgage help!