# 38 CFR § 61.4: Definition of capital lease

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/ecfr-38-61.4

## Section

- **Citation:** 38 CFR § 61.4
- **Heading:** Definition of capital lease
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** September 22, 2026
- **Source:** Publisher's official text
- **Location:** Title 38—Pensions, Bonuses, and Veterans' Relief > CHAPTER I—DEPARTMENT OF VETERANS AFFAIRS > PART 61—VA HOMELESS PROVIDERS GRANT AND PER DIEM PROGRAM > Subpart A—General Provisions

## Text

A capital lease, for purposes of this part, means a conditional sales contract that either:
(a) Will be in effect for all of the period of recovery listed in § 61.67(b); or
(b) That satisfies one of the following criteria:
(1) The lease transfers ownership to the lessee at the expiration of the lease term.
(2) The lease contains a bargain purchase option.
(3) The present value of lease payments that are applied to the purchase are equal to or greater than 90 percent of the fair market value of the asset.
(Authority: 38 U.S.C. 501, 2011, 2012, 2061, 2064)

## Nearby sections

- [38 CFR § 61.0 § 61.0 Purpose.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.0.md)
- [38 CFR § 61.1 § 61.1 Definitions.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.1.md)
- [38 CFR § 61.2 § 61.2 Supportive services—general.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.2.md)
- [38 CFR § 61.3 § 61.3 Notice of Fund Availability.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.3.md)
- [38 CFR § 61.4 § 61.4 Definition of capital lease.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.4.md)
- [38 CFR § 61.5 § 61.5 Implementation of VA Limits on Payments due to Funding Restrictions.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.5.md)
- [38 CFR § 61.10 § 61.10 Capital grants—general.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.10.md)
- [38 CFR § 61.11 § 61.11 Capital grants—application packages.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.11.md)
- [38 CFR § 61.12 § 61.12 Capital grant application packages—threshold requirements.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.12.md)
- [38 CFR § 61.13 § 61.13 Capital grant application packages—rating criteria.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.13.md)
- [38 CFR § 61.14 § 61.14 Capital grants—selection of grantees.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.14.md)
- [38 CFR § 61.15 § 61.15 Capital grants—obtaining additional information and awarding capital grants.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.15.md)
- [38 CFR § 61.16 § 61.16 Matching funds for capital grants.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.16.md)
- [38 CFR § 61.17 § 61.17 Site control for capital grants.](https://www.frixlaw.com/law-library/statutes/ecfr-38-61.17.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/ecfr-38-61.4. Check the current official text before relying on it. Not legal advice.