VA Loans in California: A Guide from Merchants Home Lending

Let’s face it—buying a home in California isn’t exactly a walk in the park. With soaring prices and tight housing inventory, it’s easy to feel like homeownership is out of reach. But if you’re a veteran, active-duty service member, or the surviving spouse of someone who served, VA loans in California could be your ticket home—literally.

At Merchants Home Lending, we’re proud to serve those who’ve served us. And one of the best ways we do that is by helping you take full advantage of VA loans in California—an incredible benefit that often gets overlooked.

Let’s walk through everything you need to know about VA loans in the Golden State—from how they work and how to apply, to the unique perks and how we make the process simple for you.

What Are VA Loans in California?

VA loans in California are backed by the U.S. Department of Veterans Affairs, and they’re designed to help military borrowers purchase, refinance, or improve a home with much more flexible terms than conventional loans. The big perk? You could buy a home with zero down payment.

Yes, really. No down payment. No PMI. Lower credit score requirements. And to top it off, you often get lower interest rates than traditional mortgages.

We’ve helped countless California veterans move into homes faster and more affordably through VA loans in California, and we’d be honored to help you too.

Areas We Serve Across California

At Merchants Home Lending, we work with veterans throughout the state. Whether you're settling down near a military base, close to family, or by the ocean, we’ve got your back.

Here are just a few areas we serve:

• San Diego
• Oceanside
• Chula Vista
• Los Angeles
• San Francisco
• San Clemente
• Orange County
• Del Mar
• Point Loma
• Coronado

No matter where you’re looking, we’ll help you navigate the home loan process with confidence.

How VA Loans Work in California

If you're eligible, VA loans in California open doors—literally.

Here’s how it works:

• The loan is guaranteed by the VA, but issued by us, your trusted lender.
• You don’t need a down payment.
• There’s no need for private mortgage insurance (PMI).
• Interest rates are often lower than conventional loans.
• Closing costs are limited (the VA caps how much you can be charged).
• Monthly payments are typically more affordable.

And in a state like California, where home prices are some of the highest in the nation, every dollar saved matters.

VA Loan Limits in California

This is where things get interesting. While the VA used to impose county loan limits, that’s no longer the case if you have full entitlement. So in most situations, you’re not limited on how much you can borrow—just on how much the VA will guarantee without a down payment.

But here’s the key: if you’ve already used a portion of your VA loan entitlement, you may still be subject to 2025 county loan limits. Not sure where you stand? Don’t worry—we’ll help you figure it out.

Types of VA loan tiers in California include:

• VA Low Balance Loans: $0 – $766,550
• VA High Balance Loans: $766,551 – County Limit
• VA Jumbo Loans: Over your county’s loan limit

At Merchants Home Lending, we can help you navigate these limits and make sure you’re getting the most value from your benefit.

How to Apply for a VA Loan in California

Applying for VA loans in California doesn’t have to be complicated—especially with our friendly, experienced team by your side.

Here’s what the process looks like:

1. Get Your Certificate of Eligibility (COE)
   This proves to the lender that you qualify for a VA loan. If you need help getting it, we’ve got you.
2. Apply for Pre-Approval with Us
   We’ll review your financial picture and give you a clear idea of your purchasing power.
3. Get a Personalized Loan Quote
   Lock in your interest rate, and we’ll start processing your application.
4. Submit Documents for Underwriting
   We may ask for a few items to verify income, assets, and other info.
5. Schedule a VA Appraisal and Pest Inspection
   These are standard steps to make sure the property meets VA standards.
6. Review and Sign Final Documents
   Almost there! Once everything is in order, you’ll be ready to close.

Most of our clients receive their loan approval within the same day of submission. Yes—same-day approval is possible!

Benefits of VA Loans in California

Why go with a VA loan instead of a regular mortgage? Here’s why so many of our clients make the switch:

• No Down Payment – Keep your savings for the move.
• No PMI – Save hundreds every month.
• Lower Credit Requirements – Credit scores as low as 550 accepted at Merchants Home Lending.
• 0% Funding Fee – Disabled veterans may qualify for exemptions.
• Faster Approval Process – We get you home fast.

Simply put, VA loans in California give you more buying power and flexibility than traditional loans.

Types of VA Mortgage Programs We Offer

No two homebuyers are alike—and neither are their loan needs. At Merchants Home Lending, we offer a variety of VA loans in California to fit your situation:

• VA Purchase Loans: Buy a new home, build, or improve a property without a down payment.
• VA IRRRL (Streamline Refinance): Lower your monthly payments by refinancing your current VA loan with little paperwork.
• VA Cash-Out Refinance: Tap into your home equity and use the cash however you like—pay down debt, renovate, or fund a big purchase.

Not sure which one’s right for you? We’re here to guide you.

VA Loans in California vs. CalVet Loans

You may have heard of CalVet loans as well. While both are for veterans, there are key differences:

• CalVet loans are issued by the State of California and the state holds the legal title.
• VA loans in California, on the other hand, are backed federally and let you hold full title to your property.
• CalVet loans often have stricter loan limits and higher interest rates.

In most cases, VA loans in California offer more flexibility and affordability. But we’re happy to walk you through both options and help you choose the right path.

Why Merchants Home Lending?

We’re not just another mortgage lender—we’re your partner through one of life’s biggest moments. At Merchants Home Lending, we specialize in VA loans in California, and our mission is simple: help you get home, fast and stress-free.

Here’s why veterans trust us:

• We know VA loans inside and out.
• We offer highly competitive rates.
• Our average close time? 30 days or less.
• We provide real human support—no robots, no endless hold music.

Ready to Get Started?

If you're ready to buy, build, or refinance with a VA loan in California, we’d love to help. At Merchants Home Lending, we’re proud to serve those who served—and we’re just a phone call away.

Call us at (800) 246-9518 or apply online to get pre-approved today.

Final Thoughts

Buying a home in California doesn’t have to feel out of reach. With the help of VA loans in California, and the experienced team at Merchants Home Lending, you could be holding the keys to your new home sooner than you ever thought possible.

Let’s make it happen—together.

FAQs: VA Loans in California

1. What’s the minimum credit score for a VA loan in California?

‍While the VA doesn’t set a hard credit score minimum, most lenders look for 620+. At Merchants Home Lending, we can work with scores as low as 550.

2. How much is the VA funding fee in CA?

‍The VA funding fee ranges from 1.25% to 3.3%, depending on the loan and whether it’s your first time using the benefit. Disabled veterans may be exempt.

3. Is it hard to qualify for a VA loan in California?

‍Not at all—VA loans are designed to be accessible. No down payment, flexible credit requirements, and no PMI make it easier than you might think.