What condition must be met for a veteran to qualify for a VA loan regarding occupancy?

For a veteran to qualify for a VA loan, it is essential that the veteran occupies the property as their primary residence. This requirement is in place because VA loans are designed to assist veterans in purchasing homes for personal use rather than for investment or rental purposes. By ensuring that the property is occupied as a primary residence, the program promotes stable housing for veterans and their families.

The provision that the property must serve as the veteran's primary residence underscores the intent of the VA loan program, which is to provide support for homeownership and not just to facilitate investment opportunities. Although factors like loan terms and potential income generation may be relevant in other lending scenarios, they do not apply to the basic eligibility criteria for VA loans concerning occupancy. The primary residence condition is a key distinguishing feature of this loan program, ensuring that veterans are directly benefiting from the assistance provided.