To be eligible for a VA mortgage you must be able to obtain a certificate of eligibility from the Department of Veterans Affairs. Please refer to this eligibility chart for specific VA requirements. The VA does not lend the money; it simply guarantees a percentage of the loan balance will be paid if the buyer defaults. VA mortgages tend to be more forgiving than conventional mortgages in terms of past credit history. A bankruptcy discharge as little as two years ago may not hinder a homebuyer from qualifying for the VA program. The primary advantage of a VA home loan is that there is no down payment required on a loan of up to the Freddie Mac conforming limit. VA loans charge the borrower a non-refundable upfront funding fee (Guarantee fee). This fee can be financed, paid out-of-pocket, or can be paid by the seller as a concession. VA loan limits are dictated by geographic location. Consult your Loan Originator for details about your area. Purchase and Refinance transactions are eligible for VA loan programs.