Can I Buy a $1,000,000 Home With My VA Loan on St. Simons Island?
Published by David Burton, Realtor | Keller Williams Realty | St. Simons Island $850K+ Single-Family Specialist | 912-602-9511
Executive Summary: Yes — with full VA entitlement you can buy a $1,000,000 single-family home on St. Simons Island, Georgia with $0 down, no PMI, and no loan limit. Blue Water Navy Act (Jan 1, 2020) eliminated limits for full entitlement. With partial entitlement, Glynn County's 2026 limit ∼$832,750 applies and you need gap down payment. Critical fix: Funding fee is NOT for everyone — Veterans with service-connected disability rating (even 10%) are exempt from funding fee. First-time use with no exemption is 2.15% ($21,500 on $1M, can be financed). Subsequent use 3.3% ($33,000) if not exempt.
The Funding Fee Reality — Who Pays and Who Doesn't:
This is where most VA articles get it wrong and mislead disabled Veterans.
1. Exempt — $0 Funding Fee (Most Common for Senior Officers):
If you have a VA service-connected disability rating of 10% or higher, you pay $0 funding fee on any VA loan, including $1M on St. Simons Island. You are also exempt if you are receiving VA disability compensation, are eligible but receiving active-duty pay instead, or are a surviving spouse of a Veteran who died in service. Many O-5, O-6, and flag officers retiring after 20+ years have a rating — check your VA Benefits Letter (VA Award Letter) before you assume $21,500.
2. Not Exempt — First-Time Use: 2.15%
On $1,000,000 = $21,500. You can finance it into loan — loan becomes $1,021,500. Or pay cash at closing. No monthly PMI ever.
3. Not Exempt — Subsequent Use: 3.3%
On $1,000,000 = $33,000. Same financing option. This applies if you have used VA before and did not have entitlement fully restored and are not exempt.
Example — $1M on St. Simons with 3 Profiles:
Veteran A: Full Entitlement + 30% Disability Rating: $1M purchase = $0 down, $0 funding fee, loan = $1,000,000, no PMI. This is your best case.
Veteran B: Full Entitlement + No Disability: $1M purchase = $0 down, $21,500 funding fee financed, loan = $1,021,500, no PMI. Keeps $200K liquid vs Jumbo.
Veteran C: Partial Entitlement + No Disability + Active VA Loan Elsewhere: $1M purchase = ($1,000,000 - $832,750 Glynn limit) x 25% = $41,812.50 down + $21,500 funding fee = $63,312 cash to close, loan = $979,687.50. Restoring full entitlement before moving saves $41K+.
The Georgia Rule — No Cap With Full Entitlement:
Georgia has no state overlay. Full entitlement = no maximum loan amount. You can buy $1M, $1.5M, or $11,999,000 Point Lane if you qualify for payment. Partial entitlement = Glynn County limit ∼$832,750 (2025 was $806,500) triggers gap down payment formula above.
$1,000,000 Math — Jumbo vs VA:
Jumbo at $1M: $200K down (20%), no PMI at 20% but $400-$600/month if 10% down, rate +0.125% to 0.25% premium, $200K buried, insurance $4,500-$7,500/yr.
VA at $1M Full Entitlement:
Down: $0 if exempt or non-exempt full
Funding Fee: $0 if service-connected disabled, $21,500 first use if not exempt (financed), $33,000 subsequent if not exempt
PMI: Never — saves $500+/month
Rate: 0.25%-0.5% lower than Jumbo
Cash Kept: $200K liquid
Underwriting: Residual income South Region $1,009 family of 4 + $80 per extra — flexible for officers
Coastal Variable on St. Simons: $1M VA here ≠Atlanta. Out-of-state lenders miss flood AE vs VE (Hampton Point vs Sea Palms), windstorm on 2025-2026 builds (304 Broadway $1,575,000, 1240 George Lotson $1,875,000, 111 Bay Berry $1,975,000) saving $2K-$4K vs 1992 Vassar Point Drive $899K 110 DOM and 1942 Maxwell Avenue $565K 104 DOM, and HOA master policies in Frederica, Sea Palms, King City.
Buyer Advisory — How to Win $1M VA:
Check Exemption First: Download VA Benefits Letter from VA.gov — if rated 10%+, you save $21,500-$33,000 in funding fee. Bring letter to lender.
Restore Full Entitlement: Sell prior home, get COE showing full entitlement. $0 down letter competes with cash.
Structure to Win vs Cash: Escalation to $1,020,000, appraisal gap coverage equal to funding fee, 21-day close, local Coastal GA lender who knows elevation certs, pre-inspection.
Call to Action: Want your $1M VA approval map with funding fee audit? I provide COE review, exemption check, entitlement restoration, Glynn County residual audit, street comps. Connect at https://stsimonsadvisor.com/contact-buyerrequest
