Your VA Loan Benefits in Colorado's Mountain Markets
If you're a veteran or active-duty service member dreaming of Colorado living—whether in Denver, the mountain towns, or anywhere in between—your VA loan benefit is one of the most powerful tools available. Here's how to use it effectively in Colorado's unique real estate market.
Why VA Loans Are Exceptional
VA loans offer benefits unmatched by any other loan program:
- Zero down payment: Buy with no money down, even on expensive Colorado properties
- No PMI: Save hundreds per month compared to conventional loans with less than 20% down
- Competitive rates: VA rates are typically lower than conventional rates
- Flexible credit: No minimum score set by the VA (most lenders want 620+)
- No loan limits: Since 2020, eligible veterans with full entitlement have no VA loan limits
- Assumable: Future buyers can assume your VA loan—a huge selling advantage in high-rate environments
VA Loans for Colorado Mountain Properties
Yes, you can use a VA loan for mountain homes, ski condos, and mountain town properties—with some important considerations:
Primary Residence Requirement
VA loans require occupancy as your primary residence. You must certify you intend to live in the home. This means:
- ✅ Buying a home in Breckenridge where you'll live full-time
- ✅ Relocating from another state to Colorado mountain town
- ✅ Living in the property while renting part-time when away
- ❌ Pure vacation home you visit a few weeks per year
- ❌ Investment property for full-time rental
Property Types That Qualify
- Single-family homes: Always eligible
- Condos: Must be on VA-approved condo list (we can check for you)
- Townhomes: Generally eligible
- Multi-family (2-4 units): Eligible if you occupy one unit
- Manufactured homes: Some restrictions apply
Many mountain condos are VA-approved, including properties in Breckenridge, Vail, Winter Park, and other resort communities. If a condo isn't approved, we can sometimes help pursue approval.
VA Loan Limits in Colorado (2026)
Veterans with full entitlement have no loan limit—you can borrow as much as a lender will approve. This is huge in Colorado where prices often exceed conforming limits.
If you have partial entitlement remaining (from a previous VA loan still outstanding), limits apply based on county:
- Most Colorado counties: $766,550
- Eagle County (Vail): $1,149,825
- Garfield County: $948,750
- Pitkin County (Aspen): $1,149,825
- San Miguel County (Telluride): $1,149,825
- Summit County (Breckenridge): $1,149,825
With full entitlement and good income, you can finance multi-million dollar mountain properties with zero down—no other loan offers this.
The VA Appraisal and Mountain Properties
VA appraisals have specific property requirements. Mountain homes may face extra scrutiny for:
- Access: Property must have year-round access (though seasonal maintenance roads may qualify)
- Safety: Structural soundness, adequate heating, no significant hazards
- Utilities: Functional water, sewer/septic, electricity
- Condition: Must be move-in ready; no major repairs required
Most well-maintained mountain properties pass VA appraisal. Fixer-uppers or properties with deferred maintenance may require repairs before closing—or you might consider a VA renovation loan.
VA Loan Strategies for Colorado
Strategy 1: Zero-Down in a High-Cost Market
In markets like Summit County where median prices approach $900,000, a conventional 20% down payment means $180,000 out of pocket. With a VA loan, you keep that capital invested or available for other needs.
Strategy 2: The VA Loan + Second Home Later
Buy your primary residence with a VA loan, build equity for a few years, then purchase a vacation property with conventional financing using your equity as a down payment.
Strategy 3: Multi-Family House Hacking
Buy a duplex or triplex with a VA loan, live in one unit, rent the others. Rental income helps qualify and can cover most of your mortgage payment. Great for Denver, Colorado Springs, or mountain towns with year-round rental demand.
Common VA Loan Questions
Can I use my VA loan more than once?
Yes! Your entitlement restores when you pay off a VA loan. You can also have multiple VA loans simultaneously if you have sufficient entitlement.
Is there a VA funding fee?
Yes, typically 2.15% of the loan amount for first-time use with no down payment (lower with subsequent use or down payments). Disabled veterans are exempt from the funding fee—a significant savings.
Can I buy with a co-borrower?
Yes! Spouses and even non-married co-borrowers can be on a VA loan. If the co-borrower isn't a veteran, only your portion gets the VA guaranty.
What about closing costs?
VA limits certain closing costs and allows sellers to contribute up to 4% of the purchase price toward your costs. This can mean very little cash needed at closing.
The Cedar Home Loans VA Difference
We're proud to help Colorado veterans use their earned benefits. Our VA loan expertise includes:
- Experience with mountain property VA transactions
- Knowledge of Colorado's high-cost county limits
- Relationships with VA-experienced appraisers
- Guidance on condo approval requirements
- Fast pre-approvals that sellers trust
Thank you for your service. When you're ready to make Colorado home, contact us to start your VA loan pre-approval.
