Many of our clients have been misinformed about Whether the Veterans Administration (VA) will allow them to purchase a home above the county limit in their area using their VA Loan Benefit.
In reality the VA does not have a limit on how much a veteran can purchase for.  The only restriction they have is how much they will guarantee with no down payment.
This is where knowing the VA county limit is important.  By default the VA will allow a veteran to purchase anywhere in the country up to $417,000 without a down-payment.  If a veteran is purchasing in a high-cost area they may be able to go even higher without a down payment.  This link will take you to the VA website so you can check to see if the area you are purchasing in is considered a high-cost area.
If you decide to purchase above the county limit – or the default $417,000 for non-high-cost areas – the VA will require you to come in with 25% of the difference between the  default limit or the county limit.  IE, if you are purchasing a home in Salt Lake County, Utah with a new loan amount of $600,000, the max 100% guarantee is $417,000 – because Salt Lake County is not a high-cost area.  You will need to come up with a down payment of $45,750 (Loan amount of $600,000 – county limit of $417,000 = $183,000 * 25% = $45,750)
By contrast if you are purchasing a home in Summit County, Utah no down-payment will be required for a loan amount of $600,000, because the high-cost county limit is $606,250.
Whether you are purchasing in Utah or any other state, this same calculation will help you determine the max 100% guarantee by the Veterans Administration.