VA Loan Guide for Veterans in South Carolina
South Carolina provides Veterans and active-duty service members with exceptional opportunities to achieve affordable homeownership through VA loans.
These loans, backed by the Department of Veterans Affairs (VA), eliminate financial hurdles like down payments and private mortgage insurance, making homeownership attainable for those who have served our nation.
With a median home price of approximately $273,977 and vibrant cities like Charleston, Columbia, and Greenville, South Carolina offers an ideal setting for Veterans to settle.
This guide explores the benefits of VA loans in South Carolina, covering eligibility requirements, loan types, assistance programs, and resources to help Veterans navigate the homebuying process.
What are VA Loans?
VA home loans, provided by the U.S. Department of Veterans Affairs, open the door to homeownership for eligible Veterans, active-duty service members, and surviving spouses. By eliminating traditional barriers such as down payments and private mortgage insurance, these loans make the dream of owning a home more attainable.
With competitive interest rates and flexible credit standards, VA loans allow borrowers to save money while accessing versatile financing options. They can be applied toward purchasing different types of properties, provided the home will serve as the borrower’s primary residence.
VA Loan Benefits
VA loans offer distinct advantages, making them an exceptional choice for veterans, active-duty service members, and eligible surviving spouses. Key benefits include:
No Down Payment
Unlike conventional loans that often require a down payment starting at 3% or more, VA loans remove this hurdle, enabling buyers to allocate funds toward other priorities, such as investments or savings goals. For military families, this can be a game-changer.
Lower Interest Rates
Lower rates mean significant savings over the life of the loan, reducing monthly payments and overall costs. This advantage also increases purchasing power, allowing veterans to afford higher-value homes without exceeding their budget.
Flexible Credit Guidelines
While credit score requirements vary by lender, VA loans often accept scores as low as 620. They also allow for higher debt-to-income (DTI) ratios and provide shorter waiting periods after financial setbacks like bankruptcies or foreclosures.
Limited Closing Costs
Sellers can pay all the buyer’s loan-related closing costs and contribute up to 4% of the loan amount in concessions. Additionally, VA borrowers are exempt from certain fees, further reducing out-of-pocket expenses.
No Private Mortgage Insurance (PMI)
This saves veterans hundreds of dollars annually and maximizes their purchasing power, allowing them to afford more home within their budget. FHA loans, which require both upfront and monthly mortgage insurance premiums, also lack this advantage.
Lifetime Eligibility
VA loan benefits are available for a lifetime, allowing eligible borrowers to reuse them multiple times as long as entitlement criteria are met.
Whether purchasing a first home, upgrading to a larger property, or buying a vacation home, veterans can rely on VA loans at every stage of life. Even if a prior VA loan default occurred, eligibility can often be restored by repaying the loan or reclaiming entitlement. This ensures long-term access to affordable financing options.
South Carolina Veteran Programs by City
Charleston Housing Authority – Veterans Assistance Program
The Charleston Housing Authority provides a range of resources for veterans, helping them secure affordable housing options. This program offers financial assistance and housing support for eligible veterans in the area. Visit the Charleston Housing Authority Veterans Assistance Program for more details.
- Offers financial assistance for down payments and closing costs.
- Provides guidance on affordable housing options tailored to veterans.
- Assists with navigating the housing application process and eligibility.
City of Charleston Homeownership Initiative First-Time Homebuyer Program
The City of Charleston offers assistance to first-time homebuyers, including veterans, to help with down payment and closing costs. This program is aimed at improving accessibility to homeownership for low- and moderate-income individuals. Visit the City of Charleston Homeownership Initiative page for more details.
- Helps with down payment and closing cost assistance.
- Targets low- and moderate-income veterans looking to purchase a home.
- Provides access to financial literacy and homebuyer education resources.
South Carolina State Housing Finance and Development Authority (HFA) – Homeownership Assistance Program
The South Carolina State Housing Finance and Development Authority offers a homeownership assistance program for veterans, helping them with down payment assistance and affordable mortgage options. Visit the HFA Homeownership Assistance page for more details.
- Provides down payment assistance to eligible veterans.
- Offers competitive mortgage rates tailored for veterans.
- Includes homebuyer education to support long-term financial readiness.
Columbia Housing Authority – Veterans Housing Assistance Program
The Columbia Housing Authority offers a Veterans Housing Assistance Program to help veterans secure affordable housing in the city. The program provides rental assistance, housing choice vouchers, and guidance for veteran homebuyers. Visit the Columbia Housing Authority website for more information.
- Provides housing choice vouchers for veterans.
- Helps with securing affordable rental properties.
- Assists with homebuyer counseling and financial readiness for veterans.
City of Columbia Homebuyer Assistance Program
The City of Columbia offers down payment assistance for low- and moderate-income homebuyers, including veterans. This program is designed to make homeownership more accessible by covering some of the initial costs. Visit the City of Columbia Homebuyer Assistance Program for more details.
- Provides down payment assistance for eligible veterans.
- Targets low- and moderate-income veterans in need of housing support.
- Includes educational workshops on the homebuying process.
South Carolina Veterans Affairs – Home Loan Program
South Carolina Veterans Affairs offers a Home Loan Program to veterans in the state, providing financial assistance for purchasing a home. The program offers competitive interest rates and no down payment requirements. Visit the South Carolina Veterans Affairs website for more information.
- Offers competitive interest rates for home loans.
- Provides veterans with no down payment options.
- Includes financial counseling and support for navigating the loan process.
Greenville Housing Authority – Veterans Assistance Program
The Greenville Housing Authority provides assistance to veterans seeking affordable housing in Greenville. The program includes rental support and homebuyer assistance programs specifically designed for veterans. Visit the Greenville Housing Authority website for more information.
- Provides affordable housing options and rental assistance for veterans.
- Helps veterans access homeownership opportunities with financial support.
- Offers resources to assist veterans in understanding their housing options.
City of Greenville Homebuyer Assistance Program
The City of Greenville offers a program to assist first-time homebuyers, including veterans, by providing down payment and closing cost assistance. Visit the City of Greenville Homebuyer Assistance Program for more details.
- Offers financial assistance for down payments and closing costs.
- Aimed at first-time homebuyers, including veterans.
- Provides homebuyer education to ensure long-term financial stability.
SC Housing Homebuyer Assistance Program
South Carolina Housing offers homebuyer assistance for veterans who are purchasing a home in Greenville. The program offers financial aid to cover some of the upfront costs, making homeownership more accessible. Visit the SC Housing Homebuyer Assistance Program for more details.
- Provides down payment and closing cost assistance.
- Offers competitive mortgage rates for veterans.
- Includes homebuyer counseling and education programs.
Spartanburg Housing Authority – Veterans Housing Assistance
The Spartanburg Housing Authority offers housing assistance to veterans, helping them access affordable housing options through the Housing Choice Voucher program. The authority also offers guidance on homeownership. Visit the Spartanburg Housing Authority for more information.
- Offers rental assistance and affordable housing options.
- Helps veterans transition to homeownership through financial guidance.
- Provides housing support for low-income veterans.
Spartanburg County First-Time Homebuyer Program
Spartanburg County offers a First-Time Homebuyer Program that includes assistance for veterans who are purchasing a home for the first time. This program helps with down payments and closing costs. Visit the Spartanburg County Homebuyer Program for more details.
- Provides up to $5,000 in down payment assistance.
- Available to first-time homebuyers, including veterans.
- Offers financial education for long-term homeownership success.
South Carolina State Housing Finance and Development Authority (HFA) – Homebuyer Assistance Program
This statewide program, offered by the South Carolina State Housing Finance and Development Authority, provides veterans in Spartanburg with financial assistance for home purchases. Visit the HFA Homebuyer Assistance page for more information.
- Provides financial assistance for down payments and closing costs.
- Offers veterans competitive mortgage rates.
- Includes homebuyer education and counseling.
Rock Hill Housing Authority – Veterans Assistance Program
The Rock Hill Housing Authority provides veterans with assistance in securing affordable housing. This includes financial support for rental assistance and homeownership programs tailored to veterans. Visit the Rock Hill Housing Authority for more information.
- Provides rental assistance to eligible veterans.
- Offers guidance for veterans looking to purchase homes.
- Helps with navigating housing applications and eligibility for veterans.
City of Rock Hill Homebuyer Assistance Program
The City of Rock Hill provides a Homebuyer Assistance Program, offering financial aid to veterans looking to buy homes in the area. The program offers down payment assistance to eligible individuals. Visit the City of Rock Hill Homebuyer Assistance Program for more details.
- Offers financial assistance for down payment and closing costs.
- Aimed at veterans and low- to moderate-income individuals.
- Provides access to financial literacy workshops and counseling.
South Carolina Housing – Homebuyer Assistance Program
The South Carolina Housing Finance and Development Authority offers assistance to veterans in Rock Hill through its Homebuyer Assistance Program. This program helps with down payment and closing cost support for eligible homebuyers. Visit the South Carolina Housing page for more details.
- Provides financial assistance for down payments and closing costs.
- Offers competitive mortgage rates for veterans.
- Includes homebuyer education to ensure financial readiness.
VA Loan Eligibility Criteria
To be eligible for a VA loan, applicants must meet the service and eligibility standards set by the Department of Veterans Affairs (VA).
- Veterans: Those who have fulfilled the active-duty service requirements and received an honorable or other qualifying discharge.
- Active-Duty Service Members: Personnel currently serving in the military are eligible.
- National Guard and Reserve Members: Must have either completed six years of service or served at least 90 days of active duty during wartime.
- Surviving Spouses: Spouses of service members who lost their lives in service or due to a service-related condition may qualify.
Minimum Service Time Requirements:
- 90 days of active duty during wartime.
- 181 days of active duty during peacetime.
- Six years in the National Guard or Reserves, or 90 days of active-duty service under Title 32 orders (with 30 consecutive days).
VA Loan Eligibility Calculator
How to Obtain a Certificate of Eligibility (COE)
Obtaining a VA Certificate of Eligibility (COE) is a crucial step in securing a VA loan. This document verifies that you meet the service requirements set by the Department of Veterans Affairs.
How to Apply:
- Online: Access the VA’s eBenefits portal for a fast and straightforward process.
- Through a Lender: Many VA-approved lenders can retrieve your COE electronically on your behalf.
- By Mail: Complete and send VA Form 26-1880 directly to the VA; this option may take more time.
Required Documents:
- Veterans: DD Form 214, detailing service history and discharge status.
- Active-Duty Service Members: A statement of service signed by your commanding officer.
- National Guard/Reserve Members: Point statements and proof of service, if not activated.
- Surviving Spouses: A marriage license and the veteran’s death certificate to establish eligibility.
South Carolina Housing Market Overview
South Carolina offers Veterans an attractive housing market, with a median home price of approximately $273,977. Cities like Charleston, Columbia, and Greenville provide a variety of housing options. Suburban and rural areas are particularly appealing for affordability and a quieter lifestyle while remaining close to urban amenities.
City-Wise Housing Data
| City | Average Home Price | Average VA Mortgage Payment* |
|---|---|---|
| Charleston | $350,000 | $2,217 |
| Columbia | $260,000 | $1,647 |
| Greenville | $320,000 | $2,027 |
| Spartanburg | $250,000 | $1,582 |
| Myrtle Beach | $300,000 | $1,899 |
*Estimated VA mortgage payment is based on a 30-year fixed loan at 6.5% interest with zero down payment. Actual payments may vary.
South Carolina VA Loan Limit
$766,550
The VA loan limit for most counties in South Carolina is $766,550. Veterans with full entitlement can borrow as much as their lender approves without a down payment. Those with partial entitlement should check with their lender to confirm loan eligibility and requirements.
South Carolina Housing Programs for Veterans
South Carolina State Housing Finance and Development Authority
This state agency offers programs designed to make homeownership affordable for Veterans and active-duty service members.
- Down Payment Assistance: Provides up to $12,000 in forgivable loans for eligible homebuyers.
- Competitive Interest Rates: Offers reduced rates for qualifying buyers.
- Homebuyer Education: Includes financial literacy workshops to prepare buyers for successful homeownership.
Learn more
Habitat for Humanity – Veterans Build
South Carolina’s Habitat for Humanity chapters partner with Veterans to create affordable housing solutions.
- Sweat Equity: Veterans contribute to building their homes, reducing overall costs.
- Low-Interest Mortgages: Offers manageable financing for long-term stability.
- Counseling Services: Provides financial literacy and homeownership education.
Visit Habitat for Humanity SC
South Carolina Veteran Property Tax Exemption Program
South Carolina provides significant property tax relief to Veterans with disabilities, helping reduce long-term housing costs.
- Full Exemption: Available for Veterans with a 100% service-connected disability.
- Partial Exemption: For those with a disability rating below 100%.
- Surviving Spouses: Eligible for similar benefits under qualifying circumstances.
Learn more
Types of VA Loans
The Department of Veterans Affairs offers a variety of loans tailored to the needs of service members, Veterans, and their families. Each option provides unique benefits to make homeownership and refinancing more accessible.
VA Purchase Loan
VA Purchase Loans are designed to help Veterans and active-duty service members buy homes with no down payment, making homeownership achievable even for those without significant savings.
- 100% financing with no down payment required.
- Covers single-family homes, VA-approved condos, and multi-unit properties.
- Offers lower interest rates compared to conventional loans.
Interest Rate Reduction Refinance Loan (IRRRL)
The IRRRL, or VA Streamline Refinance Loan, is an efficient way for Veterans to reduce their mortgage payments by securing a lower interest rate or switching to a fixed-rate mortgage.
- Requires minimal documentation and no appraisal.
- Reduces monthly payments with lower interest rates.
- Features low closing costs, often rolled into the loan.
Cash-Out Refinance Loan
Cash-Out Refinance Loans allow Veterans to access their home equity for significant expenses, such as home improvements, debt consolidation, or education.
- Provides access to up to 100% of home equity.
- Replaces both VA and non-VA loans.
- Offers flexible use of funds for financial needs.
Native American Direct Loan (NADL)
The Native American Direct Loan (NADL) program supports Native American Veterans or those married to a Native American in purchasing, renovating, or constructing homes on federal trust land.
- Requires no down payment.
- Offers competitive interest rates and reduced closing costs.
- Supports homeownership on federal trust land.
VA Renovation Loan
VA Renovation Loans combine the cost of purchasing a home and making essential renovations into a single loan, simplifying the financing process.
- Funds essential repairs, such as structural or system upgrades.
- Covers modernization projects like energy-efficient improvements.
- Rolls renovation costs into the loan for streamlined financing.
Energy Efficient Mortgage (EEM)
The VA Energy Efficient Mortgage (EEM) enables Veterans to finance eco-friendly home upgrades, such as solar panels or insulation improvements, alongside their home loan.
- Funds energy-efficient improvements like solar panels or better insulation.
- Combines seamlessly with other VA loans for integrated financing.
- Reduces long-term utility expenses.
Property Taxes in South Carolina
South Carolina offers generous property tax exemptions for Veterans with disabilities, ensuring housing costs remain affordable.
| Disability Rating | Exemption Amount |
|---|---|
| 100% | Full exemption |
| Partial (<100%) | Varies by county |
| Surviving Spouses | Varies by county |
Contact your local tax assessor’s office for detailed eligibility criteria.
Frequently Asked Questions
What is the VA loan limit in South Carolina?
Veterans with full entitlement face no loan limit. For those with partial entitlement, the limit is $766,550.
Do VA loans require private mortgage insurance (PMI)?
No, VA loans eliminate PMI, reducing monthly payments.
Are there property tax exemptions for South Carolina Veterans?
Yes, Veterans with a 100% service-connected disability receive full property tax exemptions on their primary residence.
Can VA loans cover multi-unit properties?
Yes, provided the Veteran occupies one of the units as their primary residence.
What credit score is required for a VA loan in South Carolina?
While the VA does not set a minimum score, most lenders prefer a credit score of 620 or higher.
Are there Veteran-specific homebuyer assistance programs in South Carolina?
Yes, programs like the SC State Housing Finance Authority and Habitat for Humanity Veterans Build provide financial assistance and affordable mortgage options.
Can VA loans finance new construction?
Yes, if the property meets VA and lender guidelines.
What documents are required to apply for a VA loan?
Applicants need a Certificate of Eligibility (COE), proof of income, and a credit history report.
How can I apply for property tax exemptions in South Carolina?
You can apply through your local tax assessor’s office by submitting proof of disability rating and residency.
Are there refinance options for existing VA loans?
Yes, the IRRRL and Cash-Out Refinance Loan programs provide refinancing options for lower payments or accessing equity.