VA loans have no loan limit with full entitlement, which matters in California’s high-priced counties, and California adds its own veteran programs on top.
VA residual income in California
VA puts California in its West region. The money left each month after taxes, the housing payment, upkeep and debts must be at least:
| Household | Minimum a month |
|---|---|
| 1 person | $491 |
| 2 people | $823 |
| 3 people | $990 |
| 4 people | $1,117 |
| 5 people | $1,158 |
For loans of $80,000 or more; a lower table applies below that, and households over five add $80 a person. Source: 38 CFR 36.4340(e). The VA affordability calculator applies it to your numbers.
What is different in California
- VA’s residual income test uses the West region figures for California, the highest of the four regions (table below).
- CalVet Home Loans is California’s own veteran home loan program, separate from the federal VA loan, with its own rules and insurance.
- California offers a disabled veterans’ property tax exemption on a primary home, larger for lower-income veterans; the county assessor handles it.
- As a community property state, California counts a non-borrowing spouse’s debts for VA too.
Questions
Is there a VA loan limit in California?
Not with full entitlement: VA guarantees the loan at any amount the lender approves. With partial entitlement, the county conforming limit, up to $1,249,125 in high-cost counties, sets how much VA guarantees.
What is CalVet?
A California program that makes home loans to eligible veterans directly, separate from the federal VA loan. It can make sense for some buyers; I compare it with a VA loan on your numbers.
Related
VA loans in other states: Arizona, Florida, Ohio. All of California: mortgage loans in California.
