Loan programs
VA loans
Guaranteed by the Department of Veterans Affairs. If you are eligible, this beats every other program here, and it is not close.
No credit check · No documents · Free
- Service eligibility
- Certificate of Eligibility
- Lender review and approval
At a glance
- Credit scoreNo VA minimumMost lenders want 580 to 620
- Down payment0%No down payment required
- Monthly insuranceNoneA one-time funding fee instead
- EligibilityService basedCertificate of Eligibility required
VA in numbers
Why it beats every other programme on cost
Eligibility and fee schedule from the Department of Veterans Affairs.
A VA loan is guaranteed by the Department of Veterans Affairs and made by a private lender. The VA sets no minimum credit score. Lenders set their own.
No down payment and no monthly insurance. Nothing else on this site offers both.
Loan program
VA at a glance
For eligible service members, veterans and surviving spouses
The requirements
What you need to qualify
| Requirement | Typical minimum | Worth knowing |
|---|---|---|
| Credit score | No VA minimum | Lenders commonly want 580 to 620 |
| Down payment | 0% | Required only above certain loan amounts |
| Eligibility | Service requirements | Certificate of Eligibility confirms it |
| Funding fee | One-time | Exempt with service-connected disability |
| Property | Primary residence | Must meet VA minimum property requirements |
Scroll sideways to see all columns.
These are the lowest a program allows. Lenders often want more. That is called an overlay. Compare all five programs →
The detail
What makes this program different
No monthly mortgage insurance, ever
This is the headline. Conventional means PMI until you build equity. FHA usually means paying for the life of the loan. VA means neither.
The funding fee, and who skips it
A one-time fee replaces monthly insurance, and you can add it to the loan. The amount depends on your down payment and whether you have used a VA loan before. Borrowers on VA disability are usually exempt.
You need a Certificate of Eligibility
The COE proves you are eligible. Your lender can usually pull it in minutes, so it rarely slows things down.
Residual income is checked too
The VA also looks at what is left each month after your bills. Some buyers who fail a ratio test still pass on this.
The entitlement can be reused
Pay off a VA loan and your entitlement comes back. Partial entitlement can sometimes be used on a second property.
Honestly
Is a VA loan right for you?
Good fit if
- You are a veteran, active service member or eligible surviving spouse
- You have little or nothing saved for a down payment
- You want to avoid monthly mortgage insurance entirely
- Your credit is thin but your income is steady
Look elsewhere if
- You have not served and are not an eligible spouse
- You are buying an investment property rather than a home to live in
- The property will not meet VA minimum property requirements
- You want a second home rather than a primary residence
Being honest
When a VA loan is the wrong choice
It is the strongest program in American mortgage lending, with a few real edges.
You are buying a property that needs work
VA appraisals apply minimum property requirements. A home with structural problems, a failing roof or no working heat can fail, and the seller may not want to fix it.
You are competing in a fast market
Some listing agents wrongly treat VA offers as slower. A verified pre-approval and a named loan officer who answers the phone counter most of that.
You want a second home or an investment property
VA is for a primary residence. A second property needs conventional financing.
Your entitlement is already tied up
If you have a live VA loan on another property, your remaining entitlement may not cover the new one without a down payment.
The exit
The funding fee, and who does not pay it
VA loans carry no monthly mortgage insurance, which is the single biggest reason they cost less. In its place there is a one-time funding fee, paid at closing or rolled into the loan.
The percentage depends on whether it is your first use, and on your down payment if you make one. The VA sets the schedule and it changes, so confirm the current figure with a loan officer rather than trusting a number you read online.
Veterans receiving compensation for a service-connected disability are generally exempt from the fee entirely. Surviving spouses receiving dependency and indemnity compensation are usually exempt too. If either applies to you, say so early, because it changes your cash needed at closing.
You do not pay it if you are:
- Receiving compensation for a service-connected disability
- A surviving spouse receiving dependency and indemnity compensation
Questions
Common questions
What credit score do you need for a VA loan?
The VA sets no minimum. Most lenders look for somewhere between 580 and 620, and some go lower. Because the VA guarantees part of the loan, lenders can be more flexible than on other programs.
Do VA loans really require nothing down?
Yes, for most eligible borrowers within their entitlement. A down payment may be needed on very large loan amounts or where entitlement is partially used.
What is the VA funding fee?
A one-time fee that replaces monthly mortgage insurance. It changes with your down payment and whether you have used a VA loan before, and it can be added to the loan. Borrowers receiving VA disability compensation are generally exempt.
How do I get a Certificate of Eligibility?
Most lenders pull it electronically in a few minutes using your service details. You can also request one directly from the VA.
Can I use a VA loan more than once?
Yes. Entitlement is restored when a previous VA loan is paid off, and partial entitlement can sometimes be used while another VA loan is still open.
Keep reading
Related guides
Conventional loans
The comparison most veterans are offered.
Buying a home
The purchase journey from letter to keys.
How to qualify
What lenders check beyond eligibility.
Independent sources
- US Department of Veterans Affairs — eligibility, entitlement and the funding fee
See if you qualify
Verified income and assets, in about 90 seconds.
No credit check · No documents · Free