How Long Does It Take to Get a VA Loan?

Obtaining a VA loan can be a significant step toward homeownership for eligible service members, veterans, and surviving spouses. Many prospective buyers often wonder about the duration of this process. While the timeline for securing a VA loan can vary due to several contributing factors, understanding the general progression and its components helps in planning effectively.

Understanding the Overall Timeline

The complete process of securing a VA loan, from initial application to closing, spans an average of 40 to 55 days. Some lenders may aim for a quicker closing, sometimes within 30 days. This timeframe encompasses all necessary steps, including gathering documents, property evaluation, and final approvals.

This duration is an average, and individual circumstances can influence the actual length of the process. Factors such as the complexity of a borrower’s financial situation or the property’s condition can lead to variations. Despite these potential differences, the VA loan process is often comparable in length to other mortgage types, such as conventional loans.

Key Stages of the VA Loan Process

The journey to a VA loan involves several distinct stages, each with specific requirements and durations. The initial step for any eligible borrower is obtaining a Certificate of Eligibility (COE). This document verifies that an individual meets the military service requirements set by the Department of Veterans Affairs.

For most veterans, a COE can be obtained rapidly, often within minutes, by having a VA-approved lender access the Automated Certificate of Eligibility (ACE) database. Applying online through the VA’s portal can also yield results within a day or a few days. However, manual requests, such as those for surviving spouses or complex service records, might take several weeks to process.

Following COE attainment, or even concurrently, borrowers seek pre-approval for a loan. Pre-approval involves a preliminary review of your financial situation, including income, credit history, and asset statements, to determine how much you can afford to borrow. This stage takes a few days to a week, though some lenders may require two to four weeks. A pre-approval letter is valid for 60 to 90 days, providing a window to search for a home.

Once pre-approved and a property is identified, the formal loan application is submitted. This requires detailed documentation, such as recent pay stubs, W-2 forms or tax returns for the past two years, and bank statements. The lender uses this information to verify income, assets, and liabilities, ensuring the borrower’s financial capacity to repay the loan.

A step unique to VA loans is the VA appraisal. This assessment establishes the home’s fair market value and ensures the property meets the VA’s Minimum Property Requirements (MPRs). These MPRs dictate that the home must be safe, structurally sound, and sanitary. The appraisal takes one to two weeks to complete, with many areas seeing completion within 10 business days.

MPRs cover various aspects. The property must have:

• Adequate space for living, sleeping, cooking, and sanitation.
• Year-round access from a public or private road.
• Functioning electrical, heating, and plumbing systems.
• A roof that is reasonably durable for the foreseeable future without leaks.
• No issues like lead-based paint in older homes or improper drainage.

If the property does not meet MPRs, necessary repairs must be completed before the loan can close, which can cause delays.

After the appraisal, the loan moves into the underwriting phase. Underwriters review the entire loan file, including credit history, income stability, and the property appraisal, to assess the borrower’s risk. This process takes between three to six weeks, though automated underwriting systems can be quicker, two to four weeks. During underwriting, additional documents or explanations may be requested, such as letters clarifying credit issues or updated income statements.

Factors Influencing the Timeline

Several elements can significantly impact the overall timeline for a VA loan. The borrower’s responsiveness and preparedness are important. Promptly providing all requested financial documents, such as pay stubs, tax returns, and bank statements, and quickly responding to any inquiries from the lender or underwriter can prevent delays.

The efficiency and workload of the chosen lender also play a role. Lenders with streamlined processes and sufficient staffing can often expedite the loan process. Conversely, high loan volumes or internal backlogs at a lender can extend the timeline.

Property-related issues, particularly those identified during the VA appraisal, can introduce delays. If a home does not meet the VA’s Minimum Property Requirements (MPRs) or appraises for less than the agreed-upon purchase price, additional time is needed for repairs or negotiations. For instance, if the appraiser notes a leaky roof or a non-functional heating system, these issues must be resolved before the loan can proceed.

The complexity of the borrower’s financial situation can also extend the underwriting period. Borrowers who are self-employed, have multiple income sources, or a unique credit history may require more extensive review. Similarly, market conditions, such as high demand for appraisals or backlogs at the VA or with third-party verification services, can impact the speed of the process.

What Happens at Closing

The closing is the final stage of the VA loan process, marking the official transfer of property ownership. At this point, all prior stages, including pre-approval, appraisal, and underwriting, have been successfully completed. The closing occurs at a title company or attorney’s office.

During the closing appointment, the borrower will sign a series of legal documents. These include the promissory note and the deed of trust or mortgage. The promissory note is a legal promise to repay the loan, detailing the loan amount, interest rate, and repayment terms. The deed of trust or mortgage secures the loan by placing a lien on the property, allowing the lender to reclaim it if the borrower defaults.

Borrowers will also review and sign the Closing Disclosure, a document that itemizes all final loan terms, closing costs, and fees for both the buyer and seller. Lenders must provide this document at least three business days before the scheduled closing. Funds are then wired from the lender to the title company or closing agent, and the deed is recorded with local authorities, officially transferring ownership. Once all documents are signed, funds disbursed, and the deed recorded, the borrower receives the keys to their new home.