VA LOANS · SAN DIEGO COUNTY
Who actually qualifies for a VA home loan, how entitlement and county loan limits work, and what you’ll need for a down payment, explained by a San Diego mortgage broker who works with veteran buyers every day.
By Adam Cato, Mortgage Broker | NMLS #1855852 | Updated September 2026
Based on 2026 loan limits. Figures use the 2026 San Diego County limit of $1,104,000 and the $832,750 national baseline. Next update: when the 2027 limits are announced.
What You Will Learn
Quick Answer
VA loan eligibility comes down to service history: generally 90 days of wartime active duty, 181 days in peacetime, or 6 years in the Guard or Reserves, with a discharge that isn’t dishonorable. Some surviving spouses qualify too. With full entitlement, there’s no VA loan limit and no down payment required. If part of your entitlement is still tied up in another VA loan, the 2026 San Diego County limit of $1,104,000 determines how much you can borrow with 0% down.
Sources: FHFA 2026 conforming loan limits; U.S. Department of Veterans Affairs.
Who Qualifies: Service Requirements
VA loan eligibility comes down to service history, and the requirements vary more than most people would expect. Here are the requirements:
| Service type | Minimum requirement |
|---|---|
| Wartime active duty | 90 days |
| Peacetime active duty | 181 days |
| National Guard / Reserves | 6 creditable years in the Selected Reserve or National Guard, or 90 days of cumulative active service under Title 10 |
| Enlisted after September 7, 1980 | Generally 24 months of continuous service, or the full period you were ordered to active duty |
| Separated service members | A discharge that isn’t a dishonorable one |
The lender will also need a copy of your DD-214 as proof of service.
Eligibility Isn’t Limited to Veterans Themselves
Surviving spouses can also qualify for VA loan benefits. I’ve worked with a borrower who was the unremarried spouse of a service member who died in the line of duty. She was eligible for the same benefit any veteran would receive. A spouse can also qualify if the veteran’s death was from a service-connected disability or when the veteran is MIA or a Prisoner of War.
How Entitlement and Loan Limits Work
VA eligible borrowers with full entitlement have no VA loan limit since 2020 – meaning if you have full entitlement then you do not have a down payment obligation. But if part of your entitlement is still tied up, whether from a property you purchased with a VA loan that is still active or from a prior foreclosure on a VA loan, you have reduced entitlement. In that case, your county’s loan limit determines how much you can borrow with 0% down, so it’s worth confirming exactly where you stand with your loan officer before you start shopping for a home. You don’t want to find out about limits after you’ve found a home. Make sure you have your certificate of eligibility available for your loan officer to analyze.
The Math for Calculating Reduced Entitlement: A San Diego Example
Here in San Diego, the 2026 loan limit used for VA entitlement is $1,104,000. The baseline limit for most of the country is $832,750.
I can give a recent example of a client who had purchased his home for $600,000 (original loan amount also $600,000) several years back. That VA loan was still active when he wanted to purchase another home using his VA benefit. We would subtract the $600,000 from the county loan limit (in this case $1,104,000) and we would come up with $504,000. This means the borrower can have a 0% down payment up to $504,000. For anything past that, the borrower would have to put down 25% of every dollar above that figure.
| Step | Amount |
|---|---|
| 2026 San Diego County loan limit | $1,104,000 |
| Minus original VA loan amount still active | − $600,000 |
| 0% down buying power | $504,000 |
| Purchase price of the new home | $1,000,000 |
| Amount above 0% down buying power | $496,000 |
| Down payment required (25% of $496,000) | $124,000 |
So in this example, the borrower is obligated to come out of pocket $124,000 for the down payment because their entitlement is reduced.
Two things to keep in mind: use your original loan amount, not your current balance. And this only applies while your first VA loan is still active. If you sell that home and pay off the loan, your full entitlement can be restored. The VA funding fee will also apply at the subsequent-use rate unless you’re exempt.
Down Payment Rules by Situation
VA loans allow 0% down for borrowers who meet entitlement requirements. Here’s how it breaks down:
| Situation | Down payment |
|---|---|
| A single VA-eligible borrower | 0% |
| Married couple, one or both spouses VA-eligible | 0% |
| Two VA-eligible borrowers purchasing together | 0% |
| VA-eligible borrower with an unmarried, non-veteran co-borrower | Around 12.5% for the co-borrower’s portion |
Assumes full entitlement. With reduced entitlement, see the San Diego example above.
I have had a couple in the past rush to the altar and become legally married so that the non eligible borrower did not have to come up with a down payment.
VA Loan Eligibility FAQs
Can a surviving spouse use a VA loan?
Yes, an unremarried surviving spouse of a service member who died in the line of duty or died from a service-connected disability may be eligible for VA loan benefits. If the spouse remarries on or after age 57 (and on or after December 16, 2003), they can still qualify.
Do I need a down payment for a VA loan?
Not if you meet entitlement requirements. VA loans allow 0% down payment for eligible borrowers, including married couples and joint VA-eligible co-borrowers.
What if I’m buying with someone who isn’t VA-eligible?
An unmarried, non-veteran co-borrower’s share of the loan typically requires a down payment of about 12.5%.
How do county loan limits affect my eligibility?
If you have full entitlement, then no need to worry – loan limits do not apply to you. Your entitlement is subject to your county’s specific loan limits once your entitlement is reduced, which can affect how much you can borrow with 0% down. Here in San Diego, the 2026 loan limit used for VA entitlement is $1,104,000, and the baseline limit for most of the country is $832,750. Be sure to confirm eligibility with your loan officer early in the process.
Adam Cato
Mortgage Broker · Certified Veterans Loan Specialist · NMLS #1855852 · Anchor Funding, Inc.
Adam Cato is a San Diego mortgage broker with Anchor Funding, Inc. and a Certified Veterans Loan Specialist, a designation from the National Association of Mortgage Brokers (NAMB). He helps buyers in California, Arizona and Texas compare loan options and get pre-approved. He works with veteran and military buyers on VA loans every day and walks them through eligibility, entitlement and down payment before they start shopping.