If you’re like many veterans, you need to know whether you can buy a farm with a VA loan. In some cases, you can – but here’s what you need to know.
Can You Buy a Farm With a VA Loan?
In many cases, you can use a Department of Veterans Affairs home loan to purchase a farm property. However, the property must have a residence on the land, and the residence must be the veteran’s primary residence. That means you can’t buy farmland without a house on it – or farmland that has a house on it that you don’t intend to live in. Additionally, VA loans are for residences; that means you can’t buy the farm just to run a business.
With that said, keep in mind:
- The VA does not limit the number of acres the property can have (provided it has a home on it and that home will be your primary residence).
- The value of the property, as appraised, cannot include livestock, crops, or farm equipment and supplies.
- You can use your farm income to support the loan payments, but the VA will verify your ability and experience as a farm operator before it will accept your anticipated income.
Related: What is a VA funding fee?
How Can You Get a VA Loan to Buy a Farm?
If the property you want to buy meets the criteria – that is, it has a residence on it and you intend to make the home your primary residence – you can apply for a Certificate of Eligibility through eBenefits. You’ll have to verify your eligibility through the VA, and after you do so, the agency will provide you with a CoE. You then take your CoE to your lender, and your lender will take it from there.
Are You Buying a Home or Land for Sale in Lake City?
If you’re moving to Lake City, we can help you find the perfect place to live. Call us at 386-243-0124 to tell us what you want from your home and we will begin searching right away.
Check these out:
