Vermont VA Loan Requirements 2026
How VA entitlement works in Vermont and why full entitlement carries no county loan cap, the 2026 funding fee tables and exemptions, the 158th Fighter Wing and Vermont National Guard sites, and pairing a VA loan with VHFA.
VA Loan Eligibility in Vermont
VA eligibility is federal and does not vary by state. Your Certificate of Eligibility (COE) shows the entitlement your lender will use.
| Category | Minimum Service |
|---|---|
| Active-duty service members | At least 90 continuous days |
| Veterans | Depends on when you served |
| National Guard | 90 days of non-training Title 10 active duty, or 6 creditable years |
| Reserve | 90 days of non-training active duty, or 6 creditable years in the Selected Reserve |
| Surviving spouses | Receiving or eligible for certain DIC, or spouse of a service member missing in action or held as a prisoner of war |
Full service rules, discharge exceptions and COE requests are on the VA home loan eligibility page.
Vermont Military Installations
The Vermont Air National Guard’s 158th Fighter Wing flies the F-35A Lightning II from its base at Burlington International Airport, and the Vermont Army National Guard is headquartered at Camp Johnson in Colchester. Active-duty members and eligible Guard members qualify for VA loans under the service rules above.
| Installation | Unit or Mission | Notes |
|---|---|---|
| Vermont Air National Guard base, Burlington International Airport | 158th Fighter Wing | F-35A Lightning II |
| Camp Johnson, Colchester | Headquarters of the Vermont Army National Guard | Adjacent to Fort Ethan Allen |
| Ethan Allen Firing Range, Jericho | Training facility | Home to the Army Mountain Warfare School |
| White River Junction VA Medical Center | VA health care | 163 Veterans Drive, White River Junction |
Sources: the 158th Fighter Wing, Vermont National Guard pages on Camp Johnson and the Ethan Allen Firing Range, and the White River Junction VA Medical Center.
How VA Entitlement Works in Vermont
A VA guaranty lets most eligible buyers purchase with no down payment and no private mortgage insurance. With full entitlement, VA’s bonus entitlement usually covers 25% of the amount a lender is willing to lend, so the county limit does not cap your loan — your lender’s approval does. If part of your entitlement is already in use, your remaining entitlement is based on the county loan limit where you buy.
| Entitlement Status | Does a County Limit Apply? | Down Payment |
|---|---|---|
| Full entitlement | No — the lender’s approval sets the amount | Usually none |
| Partial entitlement | Yes — remaining entitlement is based on the county loan limit | May be required above what your remaining entitlement covers |
| County Group | Conforming Limit (partial entitlement reference) |
|---|---|
| All 14 Vermont counties | $832,750 |
VA says its home loan limits are the same as FHFA’s conforming loan limits and that you use the one-unit limit even for a multi-unit property. See VA’s home loan entitlement and limits page. The maximum VA loan on a property is the lower of the appraised value or the purchase price.
Vermont VA Loan Requirements
| Requirement | Standard | Notes |
|---|---|---|
| Down payment | Usually none with full entitlement | The lender determines the loan amount |
| Credit score | 580–620 (lender overlay) | VA does not require a minimum score |
| Seller concessions | Up to 4% of reasonable value | Seller credits for closing costs are not limited |
| Funding fee | Varies — see below | Waived for exempt borrowers |
| Mortgage insurance | None | No private or monthly mortgage insurance |
2026 VA Funding Fee
The funding fee is a one-time charge on a VA-backed loan. It falls as your down payment rises.
| Down Payment | First Use | Subsequent Use |
|---|---|---|
| Less than 5% | 2.15% | 3.3% |
| 5% or more | 1.5% | 1.5% |
| 10% or more | 1.25% | 1.25% |
| Refinance Type | First Use | Subsequent Use |
|---|---|---|
| Cash-out refinance | 2.15% | 3.3% |
| Interest Rate Reduction Refinance Loan (IRRRL) | 0.5% | 0.5% |
Who is exempt
- Veterans receiving VA compensation for a service-connected disability
- Veterans eligible for that compensation but receiving retirement or active-duty pay instead
- Surviving spouses receiving Dependency and Indemnity Compensation (DIC)
- Service members with a proposed or memorandum rating before closing based on a pre-discharge claim
- Active-duty members who provide evidence of a Purple Heart on or before closing
Veterans with VA disability ratings, surviving spouses receiving DIC, and active-duty Purple Heart recipients are exempt from the funding fee. Cash-out refinance funding fees are 2.15% for first use and 3.30% for subsequent use; IRRRLs carry a 0.5% fee. Confirm current rates at the VA’s official funding fee page.
Pairing a VA Loan with VHFA
A VA loan and the Vermont Housing Finance Agency’s programs are not mutually exclusive. All VHFA homebuyer programs are paired with eligible 30-year fixed rate mortgages, and VA is one of the eligible types.
| VHFA Program | How It Works with VA |
|---|---|
| MOVE and MOVE MCC | VA is an eligible mortgage; income and purchase price limits and first-time homebuyer requirements apply |
| ADVANTAGE | VA is an eligible mortgage; VHFA’s highest income and purchase price limits |
| ASSIST | Not eligible with a VA loan |
| Mortgage Credit Certificate | Federal tax credit up to $2,000 a year with MOVE MCC |
Because a VA loan usually requires no down payment with full entitlement, and ASSIST is not eligible with a VA loan, VHFA’s value to a VA borrower is mainly its rate and the MCC. Check current terms at the Vermont Housing Finance Agency.
