VA Loans: An Overview
CEO, Arcus Lending
About Arcus Lending
• Arcus Lending is Mortgage Lender based in San Jose,
• Products Offered: Residential Mortgages- FHA,
Conventional, VA, 203K, HARP, HomePath, Reverse
Mortgage, CHDAP, 80/10/10
• Geography Served: California, Washington and
• What are they known for: Legendary customer
service, quick closing and rates that are consistently
better than the leading banks
Ab About Shashank Shekhar
• Shashank Shekhar is the Founder and CEO of Arcus
• Amazon.com Best-selling Author and “Top 40 under
40 Mortgage Professional” 2 years in a row
• National speaker, and a blogger who is frequently
tapped for his expertise by various national and local
media including FOX, CBS, ABC and NBC
• The information contained within this document
is for educational purposes only. Every attempt
has been made to provide accurate, up to date,
reliable and complete information. No
warranties of any kind are expressed or implied.
Readers acknowledge that the author is not
engaging in rendering legal, financial or
• What is a VA loan?
• Who is eligible for a VA loan?
• What are the loan limits?
• What are the requirements?
• What is the funding fees?
• How can you get a VA loan?
What is a VA loan?
• Veterans Affairs (VA) home loans are mortgages that
are guaranteed by Veterans Administration.
• The loans are made by mortgage lenders and banks.
• Service members, veterans and eligible surviving
spouses may qualify for VA home loans.
Who is eligible?
• Eligibility is based on the veteran’s length and type of
military service. Generally speaking, VA determines
that veterans who fulfill the criteria below are
eligible for the VA home loan benefit:
– Veterans with two years of continuous active duty
and an honorable discharge
– Veterans with six years of service in the Selected
Reserves or National Guard and an honorable
– Veterans with 90 days active duty wartime service
and an honorable discharge
Who is eligible?
– Veterans with 181 days of continuous active duty during
peacetimes listed below and an honorable discharge:
July 26, 1947 – June 26 1950
February 1, 1955 – August 4 1964
May 8, 1975 – August 1, 1990
– Un-remarried surviving spouse of a veteran
– Eligibility determined by Veterans Administration (VA)
– Veteran must have been totally disabled at the time of death
or died on active-duty or as a result of service connected
injuries or illness (VA determines cause of veteran’s death)
Who is Eligible?
⁻ For Interest Rate Reduction Refinance Loans (IRRRL),
the Certificate of Eligibility must be in the deceased
veteran’s name and social security number
⁻ For purchase and cash-out transactions, the
Certificate of Eligibility must be in the surviving
Obtaining Certificate of Eligibility?
• A certificate of eligibility is required for all VA home
purchase loans. This can be obtained through VA’s
website https://vip.vba.va.gov or by contacting VA’s
eligibility center at 1700 Clairmont Road, Decatur,
GA 30031 – Phone: 888-768-2132.
• Most regional loan centers also prepare certificate of
eligibility for walk-in veterans.
VA Loan Amount Limits
• The Department of Veterans Affairs (VA) Loan
Guaranty program does not set a maximum amount
that an eligible veteran may borrow using a VA
guaranteed loan. For 2013, the maximum loan limit
can be as high as $1,094,625 in certain counties.
However, most lenders don’t lend beyond $729,750.
• The minimum loan amount limit for all counties is
Loan to Value (LTV) Ratio and Down payment
• You can borrow up to 100% of the purchase price (or
appraised value whichever is lower).
• Funding fees can also be financed in the loan
amount. No minimum down payment or cash
investment is required unless:
– Your available entitlement is less than 25% of the
total loan amount, including funding fee or
– There is a Co-borrower on the loan who is not a
veteran or the spouse of the veteran borrower
• Credit Score Requirements
– Most lenders would require a minimum credit
score of 640.
– Veteran must either occupy the home at the time
of closing or certify that he or she will occupy
within 60 days of loan closing. The veteran’s
spouse who occupies the home satisfies the
occupancy requirement when the veteran cannot
occupy the home due to overseas active duty
VA Loans Funding Fees
• See the chart below for funding fees.
• Note: Funding fees can be added to the loan amount
and you do not need to pay this from your pocket at
How do I get a VA loan?
• Call (408) 615 0655
• Email: Info@ArcusLending.com
• Website: www.ArcusLending.com
• Blog: www.LendingExpertBlog.com
• FaceBook: www.facebook.com/ArcusLending
Arcus Lending Inc, NMLS ID 1035734 and CA BRE #01857474
Shashank Shekhar NMLS ID 8176