Think You Can Only Use Your VA Loan Once? Here’s How to Use It Again and Again!

by Skylar St. Pierre

Many veterans believe they can only use their VA loan benefits once. However, this is a myth! VA loans can be reused, allowing veterans to purchase new homes throughout their lifetime. Whether selling your current home or upgrading, the VA loan program offers flexibility that many veterans don’t realize. In this blog, we’ll explore how you can reuse your VA loan benefits and unlock new opportunities for homeownership.

The VA Loan Myth

Myth: Once you’ve used your VA loan benefits, you can’t use them again.
Fact: You can use your VA loan benefits multiple times, as long as you meet eligibility criteria and have sufficient entitlement.

How to Use Your VA Loan Multiple Times

Restoring Your Entitlement

Why It Matters: After paying off your VA loan or selling the home, you can restore your entitlement to reuse your benefits.
How It Works: Submit a request to the VA to reinstate your entitlement, enabling another home purchase.

Bonus Entitlement

Why It Matters: If your original VA loan hasn’t been fully paid off, bonus entitlement allows for a second VA loan.
How It Works: This flexibility lets you buy a new home while still paying off your first loan.

Selling Your Home

Why It Matters: Selling your home can restore your entitlement and free you to reuse your VA loan benefits.
How It Works: The loan can also be assumed by a buyer, simplifying the process.

Common Scenarios for Reusing VA Loans

Buying a New Primary Residence: After selling your current home and paying off the loan, reuse your benefits for a new home.
Upgrading or Downsizing: Move to a larger or smaller home using your VA loan benefits again.
Building a Real Estate Portfolio: Use your benefits to buy multi-family properties, live in one unit, and rent out the others.

Conclusion:
VA loans are a flexible resource, allowing veterans to reuse benefits throughout their lives. Whether you’re upgrading, downsizing, or investing, VA loans make homeownership easier and more accessible.