Does anyone know if a Soldier who is flagged is eligible for a VA Home Loan?

SFC Reitz,
For a VA loan all you need is a DD214 with a honorable discharge and if still in the service you need a statement of service stating time served and time left ti'll your ETS. Flag has no effect so ever on your VA Loan.

Also for a VA loan I just did mine last year and you will need a COE

If you are flagged you can’t re-enlist will that affect the va loan?

Hi Steven,

If likely depends on how the lender does a verification of employemt. If it comes back unfavorably, then the lender will not give him/her a mortgage. He/She must also show over 12 months remaining before ETS. Hope that helps.

SFC Reitz, I have honestly never heard of this as an issue before. However, AR 600-8-2 does not mention a VA home loan as one of the items considered "favorable actions". Also, the VA home loan website does does not mention anything similar.

http://benefits.va.gov/homeloans/purchaseco_eligibility.asp

Even if the Soldier does not improve and receives a chapter 13 discharge it would not stop them from getting the loan. The VA website says that a Veteran may qualify for a home loan as long as they were not given a dishonorable discharge (which a chapter 13 is not).