The VA Loan Certificate of Eligibility: A California Borrower’s Guide

In a previous article, we explained some of the documents borrowers need to submit when applying for a VA loan in California. The Certificate of Eligibility (COE) is one of the initial documents a borrower needs to obtain, because it determines whether or not they are eligible to use the VA loan program in the first place.

Today, we will take a closer look at the Certificate of Eligibility by answering some of the most common questions relating to this document.

What is a Certificate of Eligibility (COE) for a VA loan?

A Certificate of Eligibility (COE) for a VA loan is an official document issued by the Department of Veterans Affairs (VA). It serves as proof that a borrower meets the eligibility requirements to qualify for a VA home loan. This document is a critical step in the application process. The loan process cannot move forward until the borrower provides a COE.

Who is able to request one?

VA loan eligibility is extended to veterans, active-duty service members, certain members of the National Guard and Reserves, and qualified surviving spouses of veterans. The specific eligibility criteria can vary based on service history and other factors.

How do I apply for a COE for a VA loan?

You have several options when it comes to obtaining your COE. You can use the VA’s online application system, submit a paper application through the mail, or work with a VA-approved lender who can request the COE on their behalf. The application process may require providing documentation of military service or surviving spouse status.

What documents do I need to provide when requesting it?

The documentation requirements for a COE application typically include discharge or separation papers (DD214 for veterans), proof of service during specific periods, and marriage certificates or evidence of surviving spouse status, as applicable. The specific documents needed can vary based on individual circumstances.

How long does it take to receive a COE once I apply?

The processing time for a COE application can vary, but many applicants receive their COE within a few weeks if they apply online. Paper applications may take longer to process.

It’s wise to apply for a COE well in advance of starting the VA loan application process. That way, you’ll have everything you need to complete the application process and proceed with your home search.

Can I get a COE if I’m a surviving spouse of a veteran?

Yes, surviving spouses of eligible veterans may be eligible for a COE provided they meet certain criteria, including not remarrying and the veteran’s cause of death being related to service-connected disabilities or while in active duty. You can refer to this page on the VA.gov website to learn how to request a COE as a surviving spouse.

Is there a fee associated with obtaining this document?

Typically, there is no fee associated with obtaining a COE for a VA loan. The Department of Veterans Affairs provides this document free of charge to eligible individuals as part of its support for veterans and their families.

Can I use the same certificate for multiple VA loans?

In most cases, you can reuse the same COE for multiple VA loans, as long as you meet the eligibility criteria for each loan. However, some situations may require updating or reapplying for a certificate of eligibility.

What information does this document contain?

The COE contains essential information, including the borrower’s name, eligibility status, entitlement amount (the maximum loan guarantee the VA provides), and any specific conditions or restrictions related to the borrower’s eligibility.

Does it have an expiration date?

COEs typically do not have expiration dates. Once you receive your certificate, it remains valid for as long as you meet the basic eligibility criteria for the VA home loan program.

What’s the difference between the COE and pre-approval?

While a COE establishes your eligibility for a VA loan, loan pre-approval is a separate process entirely. During mortgage pre-approval, your lender will review your financial situation to determine your creditworthiness and the specific loan amount you qualify for. Both are important steps in securing a VA loan, but they are different from one another.

Can I get a VA loan without this document?

In most cases, you cannot obtain a VA loan without a valid COE. It is a fundamental requirement to demonstrate your eligibility for the program.

Can I apply for it online, or do I have to do it in person?

You can apply for a COE online through the VA’s website, which is a convenient and efficient option. Alternatively, you can submit a paper application by mail, but online applications are generally faster and more accessible.

What should I do if I lose my COE?

If you lose your COE, you can request a duplicate copy from the VA. Also keep in mind that this certificate includes your Social Security Number and other identifying information. So you should do your best to safeguard it as you would other private information.

Can I request it before finding a lender for my VA loan?

Yes, you can apply for a COE before seeking a lender for your VA loan. Having your certificate of eligibility in hand helps streamline the loan application process and provides clarity on your eligibility status. Alternately, you could have your mortgage lender request it on your behalf. But you might be able to expedite the process by obtaining it ahead of time.