Can You Get a VA Loan With Your Spouse or Partner?

Congratulations! You’ve found the perfect house and can’t wait to tell your boyfriend, girlfriend, or spouse. Unfortunately, it’s just a little bit out of your price range. They’re looking forward to moving in with you, but you don’t want to have to tell them you’ll have to keep looking.

Fortunately, the VA mortgage loan allows you to apply with a co-borrower, under the right circumstances. But who you’re buying the home with can make a difference in how the loan works, whether you’ll need a down payment, and how much of your VA entitlement you’ll use.

Here’s what you need to know before applying together.

Who Can Be on Your VA Mortgage Loan?

The short answer is that you can apply for a VA loan with a spouse, boyfriend, girlfriend, or another veteran. However, the requirements aren’t necessarily the same for everyone.

Of course, there’s a little more to it than that. Let’s take a closer look at how each situation works.

Can My Spouse Be on My VA Mortgage Loan if They Aren’t a Veteran?

This is probably the easiest way to have a co-applicant on your VA mortgage loan application.

Whether or not your spouse is a veteran, they can generally apply for a VA mortgage loan with you, with no down payment required if you qualify and have sufficient entitlement.

Whether or not your spouse should be on the loan with you is something you’ll need to discuss with your loan officer.

For example, if your spouse has credit issues that result in a significantly lower score than yours, it might be better for you to apply for the loan on your own. Your spouse may still be able to be on the deed to the home even if they aren’t on the mortgage, depending on state law and your lender’s requirements.

The important thing is to look at both options before deciding which way to go.

Can My Girlfriend or Boyfriend Be on My VA Mortgage Loan?

Yes, they can, but it may come with some additional requirements.

If your partner is active duty or a veteran and has available VA entitlement, you may be able to use a portion of each person’s entitlement to finance the purchase. This could allow you to buy the home without a down payment, assuming you otherwise qualify.

If your partner isn’t eligible for a VA loan, or is a veteran who won’t be using entitlement, things get a little more complicated.

In that situation, the VA generally guarantees only the veteran’s portion of the loan. That means you may have to make a down payment to satisfy the lender’s requirements.

For example, on a loan split equally between one eligible veteran and one non-veteran partner, a lender might require a down payment of approximately 12.5% of the purchase price to account for the portion not covered by the VA guaranty. The actual requirement can vary based on the loan structure and lender.

This is one of those situations where you’ll want to explain your full circumstances to your loan officer in your first conversation. Not every lender handles these loans the same way, and you don’t want to find out about a down payment requirement after you’ve already found the house you want.

Do Both Veterans Have to Use Their VA Entitlement on a Joint Mortgage Loan?

Not necessarily. It depends on whether you’re married to each other and how you want to structure the loan.

If two veterans buy a house together and are legally married to each other, one veteran’s entitlement may be used to guarantee the purchase and secure 100% financing. The other veteran can hold on to their entitlement for possible future use.

If the veterans aren’t legally married to each other, however, the situation is a little different.

Both veterans may be able to use part of their VA entitlement to help finance the full purchase price of the house without a down payment. If only one veteran uses entitlement, the lender may require a down payment because the VA guaranty won’t cover the other borrower’s portion.

Whether using one person’s entitlement or both makes more sense is something you’ll want to discuss before applying. After all, saving some of your VA entitlement for a future home purchase may be worth considering.

What Happens to Our VA Mortgage Loan if We Break Up?

This is a reality no one wants to think about, but unfortunately, it does happen. Some couples, even married ones, end up going their separate ways.

If this happens and both of you are on the mortgage, you’ll have some choices to make.

1. Sell the House

If neither party can afford the payments alone, this might be your only practical option.

Selling the house can free both of you from the financial obligation of making the mortgage payment once the loan is paid off at closing. You may also be able to walk away with some equity if the house is worth more than what you owe.

Keep in mind, though, that you still have to make the payments until the sale closes. If the home sells for less than what you owe, you’ll also need to work with your lender to address the remaining balance.

2. One of You Keeps the House

This can be the riskiest option if both people remain on the mortgage.

The person who isn’t keeping the house is trusting the person who stays to continue making the payments. If that person ends up defaulting on the mortgage, both borrowers could face serious credit damage.

Also, if the person whose VA entitlement was used to buy the house moves out, their entitlement may still be tied up in the existing loan. That could affect their ability to use their VA loan benefit again.

Simply moving out or agreeing that one person will make the payments doesn’t automatically remove the other person’s responsibility for the mortgage.

3. Refinance the Mortgage

This may be the way to go if one person wants to keep the home and can qualify for a new mortgage on their own.

The person keeping the house may be able to refinance into a new loan in their name only, either with the existing lender or another lender.

If the refinance pays off the original joint mortgage, the person moving out can generally be released from that debt.

However, there’s one important distinction to keep in mind: removing someone from a mortgage doesn’t necessarily mean their VA entitlement will automatically be restored. That depends on the type of refinance, whose entitlement was used, and whether the VA’s restoration requirements are met.

Before refinancing, make sure you understand what will happen to both your mortgage obligation and your VA entitlement.

What Should You Consider Before Applying for a VA Loan Together?

Buying a home with someone else can help you qualify for a house you might not be able to afford on your own. But before you apply, it’s worth having a conversation about more than just the monthly payment.

You’ll want to consider both borrowers’ credit, income, and available VA entitlement. You’ll also want to understand whether a down payment will be required and what happens if one of you eventually wants to sell or move out.

These aren’t always the most exciting conversations to have when you’re shopping for a new home, but they’re important ones.

A good loan officer who understands VA mortgage loans can help you work through the different options and figure out which arrangement makes the most sense for your situation.