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If you served for at least 90 days of active duty, you meet the minimum service requirement. If you’ve served for at least 90 days of active duty, you meet the minimum service requirement. Sometimes the VA Streamline Refinance loan is used to get out of the VA occupancy rules so you can rent out the property. This isn’t for the masses but is a good alternative for residents who may want to do so.
You must certify that you intend to occupy the property as your home. Second homes and investment properties do not qualify for a VA loan. While it can seem daunting, understanding the occupancy requirements of a VA loan is actually quite simple if you break it down. VA loan rules leave room for occupancy requirement exceptions, including deployments and other types of military duty. Civilian ex-spouses can keep the home secured by a VA loan after a divorce as long as they assume the VA loan or refinance to another loan type.
Deployed active duty service members
However, there are certain eligibility requirements to get either VA product. In these cases, veterans only have to certify that they previously occupied the home. While the VA offers these exceptions, lenders also have their own standards that might affect occupancy requirements. VA borrowers must either personally live in the property as their home or intend to move into the property and use it as their home within 60 days of the loan closing.
By using, you will be matched with participating members of the ICB Solutions network who may contact you with information related to home buying and financing. These members typically have paid to be included but are not endorsed by ICB Solutions, LLC or this site. Find out if you can get a VA-backed IRRRL to help reduce your monthly payments or make them more stable. If you’ve received an other than honorable, bad conduct, or dishonorable discharge, you may not be eligible for VA benefits. Rocket Mortgage® uses information about your income, assets and credit to show you which mortgage options make sense for you. Full Beaker, Inc. is not licensed to make residential mortgage loans in New York State.
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If you are entitled to VA loan benefits, and your spouse is a civilian, you can remove your spouse from that loan through a refinance of your existing mortgage. In many cases, VA borrowers can use the VA’s IRRRL refinance, also known as a streamline refinance, to minimize the time, expense, and paperwork required. The first thing to know about VA home loans is that the property you purchase must be a primary residence. Vacation homes or rental properties don’t qualify for a VA home loan, as they are secondary homes. The VA also states that homebuyers must move into their purchased home within sixty days of closing. VA lenders will use their best judgment to ensure the loan borrower meets the VA loan occupancy requirements.
Keep in mind, however, that the VA does not usually allow occupancy delays of more than 12 months.
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Find out if you can get a VA-backed purchase loan and get better terms than with a private lender loan. You may be able to get a COE if you meet at least one of these requirements. Turn your home equity into cash and reduce your mortgage rate at the same time.
Some do this with VA loans, but on paper, the acceptable process is to refinance the property first with a VA Interest Rate Reduction Refinance Loan or VA IRRRl first. VA IRRRLs require you only to certify that you have previously used the property as your primary residence before the refi. Refinancing with a VA IRRRL is different from VA cash-out refinance options in this way.
After that, you can rent out your current home without having to refinance. Typically, a delayed occupancy results from property repairs or home improvements. While surviving spouses of Veterans can be eligible for VA loan benefits, ex-spouses are not. Divorced military spouses can only get a VA loan if they remarry another military service member or Veteran who is eligible for VA loan benefits or serve in the military themselves.
There are also some unique situations where the spouse of a veteran can fulfill the requirement if employment issues are making reasonable occupancy difficult. Essentially, homebuyers have 60 days, which the VA considers a “reasonable time,” to occupy the home after the loan closes. Typically, homebuyers have 60 days from closing to occupy a home purchased with a VA loan. However, the VA does allow homebuyers in certain situations to go beyond the 60-day mark, potentially extending up to one year.
How to secure a VA loan and all of the benefits that go along with it in an easy, step by step guide for active duty... If you are deployed after purchasing your home, your occupancy status is not affected by the deployment. You are considered to be in a “temporary duty status” and are able to provide a valid intent to occupy certification.
This would make the home an income property, which would be a breach of the mortgage contract. That means VA borrowers must certify they intend to occupy the purchased property as their primary residence after closing. So, if you're looking to purchase a vacation home or plan on renting the entire property, this isn't the program for you. A VA Interest Rate Reduction Refinance Loan only requires the borrower to certify that the home was their primary residence during the original VA mortgage. These loans are designed to help with lower interest rates, lower payments and a few other palpable pluses.
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