finance
certificate of eligibility
A certificate of eligibility is a document issued by the Department of Veterans Affairs confirming that a veteran, service member, or eligible surviving spouse qualifies for a VA-guaranteed home loan and showing the amount of entitlement available. Lenders require it before closing a VA loan. It does not guarantee loan approval, since the borrower must still meet the lender's credit and income standards.
- Exam tip
- The certificate of eligibility is tied to VA loans and shows entitlement; a certificate of reasonable value is the VA appraisal. Do not mix up the two.
- Example
- A Navy veteran's lender obtains her certificate of eligibility online, confirming full entitlement before she buys a $350,000 home with no down payment.
Related terms & state variants
Sources
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Last verified: 2026-10-23