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Topic 7. Misuse of Veteran’s Entitlement
March 28, 2019
This chapter has been revised in its entirety.
a. What Constitutes Misuse?
A basic requirement of the law governing the VA home loan program is that the Veteran has a bona fide intention of occupying his or her property as a home. Home loan entitlement is not being used properly if the Veteran arranges to sell or convey the property to a third party prior to closing the loan.
b. What to Do?
Contact the VA RLC with jurisdiction over the property for advice regarding any case in which there may be a question regarding the legality of entitlement use.
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Article ID: 554400000314630 VA Pamphlet VAP26-7 Chapter 03 The VA Loan and Guaranty