VA home loans have been around for quite some time. They provide an excellent benefit for veterans and active service members, especially when buying homes. However, since only a limited number of people are eligible for veterans’ home loans, many people don’t fully understand it. Throughout the years, there have been many misconceptions about VA loans that some people don’t even know what to believe about it. This article aims to dispel some of the confusion on VA loans by debunking the following myths.

Myth #1: Only a Handful of Veterans Are Eligible for VA Loans

Like any other type of housing loan, VA loans have their own set of criteria for eligibility. While veterans and active-duty service members can easily meet those criteria, only about 12% of them take advantage of VA loans. In reality, the only real requirements for VA loans aside from the financial requirements are:

  • Served for 90 Consecutive Days in Wartime
  • Served for 181 Consecutive Days in Peacetime
  • Have Six Years of Service in the National Guard or Reserves
  • Are the Spouse of a Service Member

Myth #2: Those with VA Loans Can Only Purchase Pre-Built, Single-Family Homes

One of the reasons why eligible individuals are hesitant to take out a VA loan is because of the limitations on the kinds of houses they can buy. This is simply not true. VA loans provide qualifying veterans with a certain level of flexibility. With these loans, you can do the following:

  1. Purchase single-family, multi-family, manufactured homes, lots, and land.
  2. Finance construction for a custom-built home.
  3. Refinance your existing mortgage.
  4. Access equity to make energy-efficient upgrades to your current home.

This flexibility may come with limits in some cases, so make sure to talk to your mortgage advisor about your plans to ensure they’re consistent with VA rules and regulations.

Myth #3: You Can Only Use Your VA Home Loan Benefit Once

This is another myth worth debunking. You are absolutely able to use your benefit more than once, and you can even use it for multiple VA loans. The only limit here is the amount of your entitlement. As long as you still have more entitlement left, you can use it for another home. If you’re wondering if you can still use the benefit even after selling your home, the answer is yes because the entitlement is fully reinstated.

Myth #4: The VA Appraisal Takes Too Long

VA loans tend to take about the same amount of time to close as a standard conventional loan or FHA loan. Of course, it depends on the mortgage company and how quickly you submit the requirements. But generally speaking, the time it takes to process a VA loan is no different than any other common housing loan. Appraisals in some rural areas do take a little longer than average because some areas have a shortage of VA appraisers. 


The VA home loan program is an amazing benefit for our deserving active-duty service members, veterans, and surviving spouses of veterans. It’s important to dispel these misconceptions to allow more people to take advantage of the benefits of a VA loan. Hopefully, this shortlist of myths could help you better understand what a VA loan is all about.

Cal Coast Funding is a lending company that specializes in customized financing solutions. We take pride in being one of the industry’s most reliable lenders in San Diego, CA. If you want to find the right loan for you to start a new chapter in your life, let Cal Coast Funding help you. Contact us today to learn more about the different loan programs and mortgage solutions that we have available.