Yes, lenders recognize and count BAH as a source of income, and you can use your BAH as
income when applying for a VA loan. How far that BAH goes will depend on the price of the
home you choose. In many cases, it may cover the mortgage payment entirely, and you may even
have funds left over for other expenses, like utilities or HOA dues.
If you opt for a particularly high-priced home, you may need to put additional money toward
your monthly payments. Your VA lender can help you determine what price range to shop in if
you want to avoid this.