VA Loan Pre-Approval Checklist: What Documents You Need to Prepare

Are you a veteran or an active service member looking to buy a home with a VA loan? Before you start house hunting, securing a VA loan pre-approval is a crucial first step. But what documents do you need to prepare? Understanding the requirements ahead of time can streamline the process and get you closer to homeownership faster.

In this guide, we break down the VA loan pre-approval checklist into simple, actionable steps, whether you’re a first-time homebuyer, seasoned investor, or real estate professional assisting clients.

Why Is VA Loan Pre-Approval Important?

A VA loan pre-approval helps determine how much home you can afford and shows sellers that you are a serious buyer. It involves a lender reviewing your finances, income, and creditworthiness before issuing a conditional approval.

Benefits of Pre-Approval:

• Stronger buying power: A pre-approval letter makes your offer more competitive.
• Faster closing process: Having paperwork ready speeds up loan approval.
• Better budgeting: Know exactly what you can afford before house hunting.
• Identifies potential issues: Helps address any financial roadblocks before committing to a home purchase.

VA Loan Pre-Approval Checklist

1. Proof of Military Service

To qualify for a VA loan, you need to verify your military status. The primary document required is your Certificate of Eligibility (COE).

✅ Documents to provide:

• Veterans: DD Form 214 (Discharge or Separation Papers)
• Active-duty service members: Statement of Service signed by a commanding officer
• National Guard/Reservists: NGB Form 22 (for National Guard) or NGB Form 23 (for Reservists)

How to get your COE:

• Request it through the VA’s eBenefits portal.
• Ask your lender to obtain it on your behalf.
• Mail VA Form 26-1880 to the Department of Veterans Affairs.

💡 Tip: If you’re unsure about eligibility, use the VA’s COE eligibility tool online or consult with a VA-approved lender.

2. Personal Identification

✅ Required documents:

• Government-issued photo ID (Driver’s license, passport, or military ID)
• Social Security number (SSN) or card

3. Proof of Income and Employment

Lenders want to see stable income to ensure you can afford mortgage payments.

✅ Documents to provide:

• Pay stubs: Last 30–60 days
• W-2 forms: Last two years
• Tax returns: Last two years (if self-employed or earning commission-based income)
• Proof of additional income: Pension, disability, rental income, or Social Security benefits

💡 Example: If you make $4,000 per month and have a $500 car loan, lenders will assess your debt-to-income (DTI) ratio to determine affordability. Typically, VA loans allow DTI ratios up to 41%, though some exceptions exist.

4. Employment Verification

✅ Required documents:

• Employer contact details
• Letter from employer (if required for verification)
• Business license and profit-loss statement (if self-employed)

Why this matters: Stability in employment reassures lenders that you can make consistent mortgage payments. Self-employed applicants should ensure tax returns and financial statements clearly reflect their income.

5. Credit Report and Debt Information

A credit score of 620 or higher is typically preferred for VA loans, but some lenders may approve lower scores.

✅ Documents to provide:

• Credit report (your lender will pull this)
• Debt details: List of outstanding loans, credit cards, or alimony/child support payments

💡 Tip: If your credit score is below 620, improving it by paying down debts and avoiding new credit inquiries can boost approval chances.

6. Bank Statements and Asset Documentation

Lenders review your financial reserves to ensure you have enough funds for closing costs and emergencies.

✅ Documents to provide:

• Bank statements: Last two months
• Retirement accounts: 401(k) or IRA statements
• Gift letter: If receiving down payment assistance from family

7. VA Loan-Specific Documents

Some additional VA-specific requirements may apply.

✅ Documents to provide:

• VA Residual Income Calculation: Lenders analyze how much income remains after expenses.
• Rental history: If renting, a letter from your landlord or proof of rent payments may be needed.
• Loan entitlement details: If you’ve used a VA loan before, your COE should reflect remaining entitlement.

Additional Considerations for VA Loan Pre-Approval

1. Residual Income Requirements

The VA sets residual income guidelines to ensure borrowers have enough income left after covering expenses. This varies by region and family size.

💡 Example: A family of four in the Northeast must have at least $1,025 in residual income after paying monthly debts.

2. Appraisal and Property Requirements

VA loans require homes to meet Minimum Property Requirements (MPRs) to ensure safety and livability. Common appraisal issues include:

• Faulty electrical or plumbing systems
• Structural damage
• Inadequate heating

3. Funding Fee and Closing Costs

While VA loans don’t require a down payment, they include a VA funding fee that varies based on service history and loan use.

💰 Funding Fee Example:

• First-time VA loan users: 2.3% of loan amount (if no down payment)
• Subsequent VA loan use: 3.6%
• Exemptions: Veterans with a service-related disability may qualify for a funding fee waiver.

Closing costs include appraisal fees, title insurance, and lender fees. These are typically 2%–5% of the loan amount but can sometimes be covered by the seller.

Tips for a Smooth VA Loan Pre-Approval Process

✔ Organize your documents early – Missing paperwork can delay approval. 

✔ Check your credit report – Correct errors before applying. 

✔ Maintain stable employment – Avoid job changes during the process.

✔ Limit new debt – Don’t open new credit lines before closing. 

✔ Work with a VA-approved lender – They specialize in VA loans and can streamline the process. 

✔ Understand your funding fee – Know what to expect in closing costs.

Conclusion

Getting pre-approved for a VA loan is a crucial step in your home-buying journey. By gathering the right documents ahead of time, you can make the process smoother and increase your chances of securing a home loan quickly.

💡 Next steps:

• Use a VA loan calculator to estimate your mortgage payments.
• Contact a VA-approved lender to start your pre-approval process.
• Check out our Home Buying Guide for more real estate insights.

Are you ready to take the next step? Start organizing your documents today and move closer to your dream home!