Veterans and active service members with full VA loan entitlement can borrow without loan amount caps, representing one of the program’s most valuable benefits. Most borrowers fall into this category and face no restrictions on purchase price beyond standard lending criteria. VA loan limits continue to apply only in cases where borrowers have partial entitlement from previous VA loan usage.
What Is a VA Loan?
The U.S. Department of Veterans Affairs backs VA loans, providing veterans and active service members access to home financing without down payment requirements or monthly mortgage insurance premiums. These features distinguish VA loans from conventional and FHA financing options. Loan limits affect borrowing capacity only for veterans with partial entitlement, while those with full entitlement face no VA-imposed restrictions on loan amounts.
How VA Loan Fees Are Determined
VA loan fees come from different sources during the homebuying process. Lenders, title companies, and service providers all contribute to setting these costs based on their services and local market conditions.
The VA doesn’t set most fee amounts directly. Instead, the department determines which fees veterans can pay and which ones they cannot. Lenders must follow these restrictions or face penalties for non-compliance.
Fee amounts typically depend on your loan amount, local market rates, the specific services required for your transaction, and state or county requirements. Recording fees vary by county/parish. In some Louisiana parishes, recording a mortgage might cost $150, while in others it could be $200. These differences are normal and depend on local government fee schedules.
What Is a VA Loan Limit?
VA loan limits do not represent the maximum amount veterans can borrow. Instead, they indicate how much the VA will guarantee to lenders if a borrower defaults. The VA guarantees up to 25% of the loan amount, which allows lenders to offer favorable terms including no down payment requirements. For veterans with partial entitlement, loan limits determine the maximum amount they can borrow without making a down payment.
Do VA Loan Limits Still Apply?
Since 2020, VA loan limits no longer restrict most borrowers. The Blue Water Navy Vietnam Veterans Act removed loan caps for veterans with full entitlement, allowing them to borrow any amount a lender approves based on standard qualification factors like income, credit, and home value.
Veterans with full entitlement face no VA-imposed borrowing restrictions. Lenders determine loan amounts based on the borrower’s financial profile and the property’s appraised value rather than predetermined limits.
Loan limits continue to apply only to veterans with partial entitlement. Partial entitlement occurs when veterans have previously used their VA loan benefit and haven’t fully restored it, which affects their maximum borrowing capacity without a down payment.
Who Has Full Entitlement?
Veterans have full entitlement in the following situations:
- First-time use of VA loan benefits
- Previous VA loan fully repaid after selling the property
- Full repayment to the VA following foreclosure or short sale
- Previous VA loan paid off without selling the property (one-time restoration available)
Entitlement status appears on the Certificate of Eligibility (COE). Full entitlement is indicated by a basic entitlement amount of $36,000. Veterans can obtain their COE through the VA’s online portal, approved lenders, or mail submission.
When Do VA Loan Limits Apply?
VA loan limits apply only to veterans with partial entitlement. Partial entitlement occurs in the following situations:
- Active VA loan on another property
- Using remaining VA benefits to purchase a second home before selling the first
- Previous VA loan resulted in foreclosure or short sale without full VA repayment
- Prior use of VA entitlement without restoration
County loan limits determine the maximum amount veterans with partial entitlement can borrow without a down payment. Loan amounts exceeding remaining entitlement require down payment contributions to meet lender guarantee requirements.
2026 VA Loan Limits
The 2026 standard VA loan limit stands at $832,750 for most U.S. counties, up $26,250 from 2025. High-cost counties can reach a maximum of $1,249,125 for single-family homes.
Most Southeast counties, including those in Louisiana, Mississippi, Alabama, and the majority of Florida and Texas, maintain the standard $832,750 limit. Select high-cost areas such as the Florida Keys and certain Texas metro areas like Austin have slightly elevated limits.
Veterans can locate specific county limits through the Federal Housing Finance Agency website. The VA uses conforming loan limits that also apply to conventional financing.
How to Calculate Your VA Loan Limit
Veterans with partial entitlement can calculate their maximum zero-down borrowing amount using the following steps:
Step 1: Determine County Loan Limit Identify the loan limit for the county where you plan to purchase. For this example, assume the standard limit of $832,750.
Step 2: Calculate Maximum VA Guarantee Multiply the county limit by 0.25 (25%): $832,750 x 0.25 = $208,188
Step 3: Subtract Used Entitlement Review your Certificate of Eligibility to determine previously used entitlement. In this example, assume $50,000 is currently in use on another VA loan: $208,188 – $50,000 = $158,188 remaining entitlement
Step 4: Calculate Zero-Down Maximum Lenders typically allow borrowing up to four times your remaining entitlement without a down payment: $158,188 x 4 = $632,752
In this scenario, you could borrow up to $632,752 without making a down payment.
Down Payment Requirements When Exceeding Limits
Borrowing beyond remaining entitlement requires a down payment to ensure the combination of entitlement and down payment equals at least 25% of the loan amount.
Case Study: Purchasing a Second Home
Kristen, a logistics coordinator at the Port of Mobile, currently owns a home in Mobile with an existing VA loan. She wants to purchase a second property in nearby Gulf Shores without selling her first home. Her remaining entitlement is $158,188, which covers 25% of a $632,752 loan. However, Kristen found a home in Gulf Shores for $700,000.
The calculation: $700,000 – $632,752 = $67,248
Kristen needs a down payment of at least $67,248. This down payment, combined with her remaining entitlement of $158,188, provides the 25% coverage ($175,000 total) that lenders require on the $700,000 loan. With this down payment, Kristen can use her partial VA entitlement to purchase the Gulf Shores property while maintaining her existing VA loan in Mobile.
Conclusion
VA loan limits apply primarily to veterans with partial entitlement, while those with full entitlement face no VA-imposed borrowing restrictions in 2026. The increased standard limit of $832,750 provides expanded zero-down purchasing power for veterans with partial entitlement compared to previous years.
Veterans should confirm their entitlement status through their Certificate of Eligibility and identify applicable county loan limits when planning purchases. Full entitlement allows borrowing based solely on lender approval criteria, while partial entitlement may require down payments for loans exceeding remaining entitlement coverage.
VA loans offer competitive advantages including zero down payment options and no monthly mortgage insurance requirements for eligible purchases. DSLD Mortgage works with veterans throughout Louisiana, Mississippi, Alabama, Tennessee, North Carolina Florida, and Texas to provide VA loan financing and guidance on entitlement, limits, and qualification requirements.
Additional Resources
Here are some helpful tools and resources:
VA Loan Calculators:
- Veterans United VA Loan Limit Calculator: www.veteransunited.com/education/tools/va-loan-limit-calculator
- VA Loan Network County Lookup Tool: valoannetwork.com/va-loans/va-loan-limits
Official VA Resources:
- VA Home Loan Entitlement Information: www.va.gov/housing-assistance/home-loans/loan-limits
- Apply for Your Certificate of Eligibility: www.va.gov/housing-assistance/home-loans/how-to-apply
County Loan Limit Information:
- Federal Housing Finance Agency (FHFA) County Limits: www.fhfa.gov/CLL
Connect with DSLD Mortgage: Our team specializes in VA loans and can help you understand your entitlement, calculate your borrowing power, and guide you through the home buying process.
Sources:
- U.S. Department of Veterans Affairs: www.va.gov/housing-assistance/home-loans/loan-limits
- Federal Housing Finance Agency (FHFA): www.fhfa.gov
- Veterans United: www.veteransunited.com
- Bankrate: www.bankrate.com/mortgages/va-loan-limits
- Rocket Mortgage: www.rocketmortgage.com/learn/va-loan-limits
- VA Loan Network: valoannetwork.com
How much will your mortgage be? You can use DSLD Mortgage’s Mortgage Calculator to estimate your monthly mortgage payment.
Current mortgage rates holding you back? Don’t miss out on these deals! Buy a home with DSLD Mortgage and take advantage of our limited-time mortgage promotions.
Mortgage FAQs
Owning a home is a dream we help bring to life every day. You probably have a lot of questions, and that’s a good thing! Here are the answers to some of the most frequently asked questions we get, designed to make your path to homeownership as smooth as possible.
You can check your entitlement by getting your Certificate of Eligibility (COE). There are three ways to get it:
- Apply online through the VA’s eBenefits portal
- Ask your mortgage lender to check for you
- Mail VA Form 26-1880 to your VA regional loan center
If you have partial entitlement, you can still get a VA loan. You just need to:
- Stay within your remaining entitlement for zero down, or
- Make a down payment if you want to borrow more
Your lender can help you figure out exactly how much you can borrow and whether you’ll need a down payment.
The loan limits we’ve discussed apply to single-family homes. If you’re buying a multi-unit property (duplex, triplex, or fourplex), there are higher limits. However, when calculating your entitlement, the VA still uses the single-family (one-unit) limit for that county.
Yes, you can. This is actually one of the common reasons people have partial entitlement. You might have one VA loan on your current home and want to use your remaining entitlement to buy another property without selling the first one.
Begin Your Home Search with DSLD Homes
To get a feel for the lifestyle that awaits you in a DSLD Homes community, visit one of their communities throughout the Southern Region.
With a diverse selection of floor plans and communities to choose from, you’re sure to find the perfect fit for your lifestyle.
