What is a VA Loan?

By H.C. “Hutch” Hutchison, Ed.D.

The men and women of the United State military devote themselves to ensuring that freedoms are protected, maintaining peace, and providing relief to those that are enduring hardship. Benefits of military service can include training in many diverse fields, pride of serving, civilian education, travel and the opportunity to grow as an individual. One significant benefit that can be derived from military service is the opportunity to obtain an home loan guaranteed by the Veterans Administration (VA).

What is a VA loan?

Banks and other private mortgage companies make a special type of home loan to veterans of the U.S. armed forces. The Department of Veterans Affairs guarantees a portion of each VA loan and protects the lender’s investment if the borrower defaults.

Who is eligible for a VA loan?

World War II: Sept. 15, 1940 – July 25, 1947

Post World War II: July 26, 1947 – June 26, 1950

Korean War: June 27, 1950 – Mar. 31, 1955

Vietnam Era: Aug. 5, 1964 – May 7, 1975

Post Vietnam: May 8, 1975 – Aug. 1, 1990

Persian Gulf: Check with VA regional office for specific eligibility.

Afghanistan & Iraq: Check with VA regional office for specific eligibility.

Peacetime Service: At least 181 days of continuous active duty with no dishonorable discharge (in part)
* May 8, 1975 – Sep. 7, 1980 (enlisted)
* May 8, 1975 – Oct. 16, 1981 (officer)
* Enlisted veterans whose service began after Sep. 7, 1980, or officers whose service began after Oct. 16, 1981 must normally have served at lease two years.

Reserve and National Guard: Members who have competed six years of service and honorably discharged (or still serving) may be eligible. Contact a VA regional office for more details.

*To determine individual eligibility visit http://www.va.gov or contact a VA representative.

H.C. “Hutch” Hutchison, Ed.D., retired from the U.S. Army in 1991, after more than twenty-two years of active duty. Since then, the former helicopter test pilot and aviation maintenance officer has earned his third post-graduate degree and taught under-graduate and graduate courses. In addition to practicing real estate with Coldwell Banker Sea Coast Realty, Hutchison is active in national, state, and local leadership organizations and local chapters of the Vietnam Veterans of America, Veterans of Modern Warfare, Disabled American Veterans, Veterans of Foreign Wars, and United States Army Warrant Officer Association.