The Servicemen's Readjustment Act, more commonly know as the GI Bill of Rights, was signed into law by President Franklin D. Roosevelt on June 22,1944. This comprehensive program provided returning World War II service men and women with many medical benefits, educational benefits and low interest home loans to help the veteran assimilate back into civilian life. Section 501 of the Act provides for a real estate loan that is partially guaranteed by the Department of Veterans Affairs (VA). 

VA loans are made by a lender such as a mortgage company, savings and loan or a bank. VA's guaranty on the loan protects the lender against loss if the payments are not made and is intended to encourage lenders to offer veterans loans with more favorable terms. This guarantee reduces the lenders risk. Should the veteran default on their payments, the lender is compensated by the VA for any losses incurred by a foreclosure up to the guarantee limit. The portion of the veteran's loan the VA will guarantee a lender is called entitlement. As of January 1, 2019 the maximum Loan Guaranty Entitlement is $121,087.50. Because most VA loans are pooled in securities that require a 25% guaranty, the effective no-downpayment loan limit on VA loans tends to be four times the VA's maximum guaranty amount or for 2019 $484,350.

Eligibility is the veteran's entitlement to VA home loan benefits under the law, based upon military service. An eligible veteran must still meet credit and income standards in order to qualify for a VA-guaranteed loan. The documents that the VA certifies the veteran's eligibility for home loan benefits are:

VA Form 26-8320, Certificate of Eligibility (COE) for Loan Guaranty Benefits or VA Form 26-8320a, Certificate of Eligibility (COE) for Loan Guaranty Benefits (Reserves and National Guard). Lenders may rely on a COE as proof the veteran is eligible for the home loan benefit however veterans must still qualify based on income and credit before approval is granted. If the veteran is discharged from regular active duty after January 1, 1950, a copy of DD Form 214 (Certificate of Release or Discharge from Active Duty) is required. 

Veterans who were discharged under conditions other than dishonorable and who meet the service requirements are eligible for VA home loan benefits. 

A veteran is eligible for VA home loan benefits if he or she has served on active duty and was discharged under conditions other than dishonorable after:

90 days or more during wartime or

181 continuous days or more during peacetime prior to 09/09/80.

2-Year Requirement: A greater length of service is required for a veteran who:

Enlisted after September 7, 1980 or was an officer and began service after October 16, 1981.

These veterans must have completed either:

At least 24 continuous months or the full period ordered to active duty, (not less than 90 days during wartime or 181 days during peacetime).

Eligible veterans may obtain loans to:

Buy an existing home.

Build a home.

Simultaneously purchase and improve a home.

Refinance an existing mortgage loan.

Interest rate reduction refinance.

Convert an adjustable rate mortgage to a fixed rate.

Improve a home by installing energy-related features.

Purchase a one-family residential unit in a condominium housing development approved by the VA.

Purchase a farm residence owned and occupied by the veteran. If the loan includes farmland, the farmland is appraised at it's residential value only.

There are a tremendous amout of opportunities for veterans and I'd be happy to help you find the best option for you!