Is there a VA loan limit in Florida, Texas, Tennessee, or Alabama?
Is there a VA loan limit in Florida, Texas, Tennessee, or Alabama? How do you qualify for a VA jumbo loan in Florida, Texas, Tennessee, or Alabama?
As a VA approved lender, we commonly receive questions on how to qualify for a VA jumbo loan, if there is VA loan limit, and what is the maximum VA loan amount that one can qualify for? 
In today’s Part 1 of our VA Loan Limit series, we will first review and explain what VA entitlement is and how it is used in calculating a maximum VA loan amount.
Now, before we get started, don’t forget to take advantage and download our Loan Comparison Worksheet with the link below. This free guide is designed to walk you through the process step-by-step and is a great tool for both homebuyers and Realtors alike.
Is there a VA loan limit in Florida, Texas, Tennessee, or Alabama? How do you qualify for a VA jumbo loan in Florida, Texas, Tennessee, or Alabama?
What is VA Entitlement and how does it affect VA loan limits?
VA Entitlement refers to the amount available for an eligible veteran, service member, or surviving spouse to use towards a loan and it starts with a basic entitlement of $36,000 which lenders generally use for loan amounts up to $144,000.
Veterans also have what is called additional entitlement (also known as bonus entitlement), for loan amounts higher than $144,000. Please note that additional entitlement, bonus entitlement, or tier 2 entitlement are terms used by VA when they communicate with lenders regarding loan amounts greater than $144,000.
It is important to note that if you have used the VA program before, you may not have full entitlement, please call our team today to learn more about your options.
How is VA Entitlement used in calculating a Maximum VA Loan Amount?
VA states the following for loan amounts over $144,000:
“Eligible Veterans, service members, and survivors with full entitlement no longer have limits on loans over $144,000. This means you won’t have to pay a down payment, and we guarantee to your lender that if you default on a loan that’s over $144,000, we’ll pay them up to 25% of the loan amount.”
Remember that you will be considered to have full entitlement if any of the following are true:
- Your VA home loan benefit has never been used, or
- You previously paid a VA loan in full and then sold the property (i.e., Restoration of VA Entitlement) or
- Your VA home loan benefit was previously used, but experienced a foreclosure or short sale and have since repaid the VA in full.
VA Entitlement can be used in qualifying for a VA Jumbo Loan!
As long as you have your full entitlement benefit, VA loan limit guidelines will permit jumbo loan amounts in Florida, Texas, Tennessee, and Alabama with NO down payment. A VA jumbo loan would be one that exceeds the conforming loan limits for the county that the subject property is located within as established by the Federal Housing Finance Agency (FHFA).
However, those same county loan limits will apply when you have remaining entitlement under any of the following situations:
- You have an active VA loan you are still paying back, or
- You paid a previous VA loan in full and still own the home, or
- You refinanced your VA loan into a non-VA loan and still own the home, or
- You had a foreclosure or short sale (compromise claim) on a previous VA loan and didn’t repay VA in full, or
- You had a deed in lieu of foreclosure on a previous VA loan (i.e., you transferred the home’s title to the bank that holds your mortgage to avoid foreclosure)
Please note that while this was only a brief summary and is not 
meant to encompass all VA loan limit and entitlement related questions, it does provide key points to remember when calculating your maximum VA loan limit in Florida, Texas, Tennessee, or Alabama. If you have any VA loan limit questions or need help with calculating your VA entitlement please contact our team today so we can go to work for you!
As a VA Approved Lender, we will walk you through the VA loan qualifying process step-by-step. Just call, text, or email to discuss your scenario and let us show you the “Metroplex” difference!
Call/Text: 863-593-2001
800-806-9836 Ext. 280
SeanS@MPLX.org
Thank you again for forwarding and sharing today’s video with any friends, family, co-workers, or clients who are looking to buy, sell, or refinance!
As always, I want everyone to make it a great day, and look forward to seeing you right here for the next tip of the week!
P.S. You can CLICK HERE to download our free Loan Comparison Worksheet flyer.
