Using a VA Home Loan Overseas

For many Veterans and active-duty service members, life after (or during) military service doesn’t always mean settling down in one place, especially within the United States' borders.

Some choose to explore life abroad after retirement, while others are stationed in countries like Germany or Japan during their active-duty service. It's only natural to wonder: can I use my VA home loan overseas?

VA loans are a powerful tool, offering eligible service members and Veterans a chance to buy a home with no down payment and competitive interest rates. But if you’re overseas and considering using your VA loan, you have important guidelines to understand.

Can You Use a VA Home Loan Overseas?

You cannot use a VA home loan to purchase property outside the United States and its territories.

However, active-duty service members stationed overseas can still use their VA loan benefit while in another country, but the purchased property must be located within the United States or one of its recognized territories. These territories include:

• American Samoa
• Guam
• The Northern Mariana Islands
• Puerto Rico
• The U.S. Virgin Islands

While your VA loan can’t buy property abroad, it remains a valuable benefit for purchasing a home in U.S. jurisdictions, even if you're currently overseas.

With the right planning and support, you can still achieve homeownership through the VA loan program, no matter where you’re stationed.

VA Occupancy Rules While Stationed Overseas

The VA loan program requires borrowers to fulfill an occupancy requirement by stating they will live in the home as their primary residence. Typically, that means moving into the home within 60 days of closing and living there for at least 12 months.

But what if you're overseas?

The VA provides some flexibility in this case. If you're an active-duty service member stationed overseas, your spouse or dependent can fulfill the occupancy requirement on your behalf. Often called a Geo-Bachelor or Geo-Baching arrangement, you're essentially geographically separated, but the family still lives in the home.

When going this route, planning for the additional costs is essential. Housing expenses and the deployed borrower’s travel logistics can affect your financial picture and VA loan eligibility.

There’s also an exception known as intermittent occupancy, which applies if your job requires you to be away from home frequently. In this situation, the VA may still consider the property your primary residence if:

• You have a history of continuous residence in the community you’re buying
• There's no sign that you plan to establish a residence elsewhere

Buying a Home in the U.S. While Living Overseas

Let’s say you’re overseas right now but plan to return stateside. You might want to buy a home in advance to prepare for your transition.

In this case, you can use Power of Attorney (POA) to have someone in the U.S. help handle the purchase. This allows a trusted individual (often a spouse or family member) to sign loan documents and manage the process on your behalf.

How to Apply for a VA Loan While in Another Country

Applying for a VA loan while overseas might seem overwhelming, but it's quite doable. Here’s a step-by-step look at how to make it happen:

1. Obtain Your Certificate of Eligibility

Your Certificate of Eligibility (COE) proves your military service and your eligibility for a VA loan. You can request it online through the VA’s website, or Veterans United can obtain it for you to get the process started.

It helps to have supporting documents ready, like your Leave and Earnings Statement (LES) or a statement of service from your commanding officer.

2. Find a VA-Certified Lender

Not all lenders are equal when it comes to VA loans, especially for those navigating the process overseas. Look for a VA-certified lender that specializes in VA loans and understands the complexities of buying a home while deployed or stationed abroad.

Veterans United Home Loans has helped thousands of Veterans and service members achieve homeownership with their VA loan benefit. Start your VA loan today!

3. Work With a Real Estate Agent

Finding a trustworthy real estate agent is especially important when you cannot see properties in person. A military-friendly real estate agent can help you navigate local markets and find homes that meet VA loan requirements.

Veterans United can connect you with a qualified agent through our realty network, Veterans United Realty.

4. Virtual House Hunting

Thankfully, technology has made house hunting from afar easier than ever. Virtual tours, video walk-throughs and live video calls can give you a good sense of the property even from thousands of miles away.

Still, asking detailed questions about the home's condition is crucial. Remember, any property purchased with a VA loan must undergo a VA appraisal to ensure it meets Minimum Property Requirements. It's also a good idea to get an independent home inspection for added peace of mind.

5. Sign Closing Paperwork

Once you’ve found your future home and had your offer accepted, it’s time to sign the closing documents. This step can typically be completed digitally using electronic signatures — a major convenience for those overseas.

However, verbal communication from you (the borrower) is usually required on the day of closing. If you’d rather not sign digitally, remember that your power of attorney can also handle this step.

Making Your VA Loan Work While Overseas

While you can’t use a VA loan to buy a home in another country, you can use your benefit while living abroad as long as the property is located in the U.S. or a VA-recognized territory and occupancy requirements are met.

Whether you're setting up a home for your family stateside or preparing for your return, the VA loan program remains a powerful resource. With the right planning and support, homeownership is possible, even from across the globe.

Reach out to a Veterans United VA loan expert at 855-870-8845 or get started online today.