To receive the most out of your VA loan benefit, co-signers must be qualified military members or spouses. The VA will only guarantee the eligible Veteran’s part of the loan. If your co-signer is not your spouse or an eligible Veteran, you may want to look into a joint VA loan.
Co-signers do not have property ownership on a VA loan. However, if the homeowner defaults on the loan, the lender will hold both the homeowner and the co-signer responsible. Most often, VA loan co-signers are used to help homebuyers qualify for the loan when their personal finances are not strong enough.