Veteran’s Roadmap: Understanding VA Loan Statement Of Service

If you’re an active-duty service member or a veteran looking to use your hard-earned VA home loan benefit, you’ll likely encounter something called a statement of service for VA loan applications. This crucial document might seem like just another piece of paperwork, but it’s pretty much your ticket to homeownership through the VA loan program.

What Is a VA Loan Statement of Service?

Simply put, a VA loan statement of service is an official document that verifies your military service. When a lender requests this VA loan eligibility letter, you’ll need to submit it to move forward with your VA loan application.

It’s kind of like your military resume for home buying, providing lenders with confirmation that you’re currently serving (or have served) in the military and have a steady income. This document is essential proof of service when applying for VA loans, employment opportunities, benefits, and more.

For active-duty military members, this letter serves as vital evidence of your current service status. If you’re planning to use your VA loan benefit, it’s worth getting familiar with what this document contains and how to obtain it.

Important Information Included in Your VA Mortgage Statement of Service

Your VA loan military statement of service contains several key pieces of information that lenders need to verify your eligibility. Here’s what you can expect to find in this document:

• Personal Information
  • Full name
  • Date of birth
  • Social Security Number
• Service Details
  • Total time served (including active duty and reserve)
  • Military branch/division
  • Type of discharge (if applicable)
  • Current military rank and income
  • Any lost time
  • Re-enlistment eligibility

The document must be printed on official government letterhead and include the signature of the author (typically your commanding officer or another authorized individual).

Why Is a VA Loan Statement of Service Required?

There are two main reasons why lenders require a VA loan employment verification document:

1. Eligibility Verification: It confirms you’ve completed the necessary service time to qualify for a VA mortgage.
2. Income Verification: It verifies your income as an active-duty service member or veteran, helping lenders determine your ability to repay the loan.

Typically, veterans who are no longer serving need to provide 24 months of income history, while active-duty service members only need to provide 12 months of income verification.

How to Obtain Your Statement of Service for VA Loan Applications

The standard process is to contact your Commanding Officer (CO) to request a VA mortgage statement of service. It’s recommended to do this as early as possible in your homebuying journey to avoid delays in the loan application process.

Need Your VA Loan Statement of Service Letter Quickly?

Getting your CO’s signature can sometimes be challenging due to their busy schedules. Fortunately, you have options:

• The statement can also be signed by your unit’s personnel office or adjutant
• You may be able to obtain a “Status Report Pursuant to Service Members Civil Relief Act” online with help from VA processors
• Some lenders may accept this alternative document in place of the traditional statement of service

Given that obtaining this document can sometimes be time-consuming, it’s best to start this process as soon as you decide to pursue a VA loan.

The Link Between Your Statement of Service and Certificate of Eligibility (COE)

Your VA loan statement of service is crucial because it helps you obtain your Certificate of Eligibility (COE), which is also essential to the VA loan application process. The COE verifies to VA loan processors that you qualify for the program.

While the COE is necessary for loan approval, it doesn’t guarantee final approval. That said, when you have your COE (or when your loan officer obtains it electronically), you’re getting closer to final approval.

Are a Certificate of Eligibility and a Statement of Service the Same Thing?

No. These are two different documents, and you’ll need both for your VA mortgage application:

• The statement of service for VA loan applications confirms your income as an active-duty service member or veteran
• The Certificate of Eligibility (COE) informs lenders that you’ve fulfilled your service requirements

In addition to these documents, you’ll need to provide:

• At least two months of bank and retirement account statements
• A copy of your state ID or driver’s license
• W-2 tax forms from the previous two years (or four years if self-employed)

Do You Have Your VA Loan Statement of Service?

Income verification is a critical part of the loan approval process. Your VA loan statement of service demonstrates your ability to repay a mortgage loan through the VA program, so it should be at the top of your priority list when preparing for a VA loan.

Remember that your commanding officer might need time to complete this paperwork, so start the process early. If you’re ready to qualify for a VA loan and purchase a home, begin your mortgage application today and take the first step toward homeownership!