Only 13%. Think about that number for a second. Only 13% of all eligible U.S. Veterans ever use the most powerful home-buying tool they’ve earned: The VA Home Loan. That means the majority of veterans and active duty military are leaving money, flexibility, and a huge financial advantage on the table.
Below are the top 10 facts you need to know to maximize your hard-earned benefits.
1. 0% Down Payment Benefit
VA loans are the only true 0% down payment program widely available today. While other programs often require 3% to 20% down, eligible VA borrowers can purchase a home with zero dollars upfront. This allows you to keep your cash for moving costs, furniture, or an emergency fund.
2. You Can Use the Benefit More Than Once
The VA loan is a lifetime benefit, not a one-time deal. You can sell a home, restore your entitlement, and use it again. Depending on your remaining entitlement, you can even hold multiple VA loans simultaneously if you relocate to a new primary residence.
3. No Maximum Purchase Price
For buyers with full entitlement, the VA has eliminated maximum loan limits. This means you can buy a high-priced home—even above $1 million—with 0% down, provided you qualify for the monthly payments based on your income and debt.
4. Supports New Construction
You can absolutely use your VA loan to build a brand-new home. The key is working with a VA-approved builder to ensure the home meets the program’s safety and structural guidelines. You still receive all the standard perks, like 0% down and competitive rates, on a new build.
5. Buy Up to a 4-Unit Property
VA loans can be used to purchase a multi-unit property (duplex, triplex, or fourplex), provided you intend to live in one of the units as your primary residence. This “house hacking” strategy allows you to use rental income from the other units to help offset your mortgage.
6. Funding Fee Exemptions
Most borrowers pay a one-time “funding fee” to sustain the program. However, this fee is fully waived for veterans with a service-connected disability rating of 10% or more.
7. Appraisals Focus on Safety, Not “Nitpicking”
A common myth is that VA appraisals are harder than conventional ones. In reality, the appraiser focuses on Minimum Property Requirements (MPRs) to ensure the home is safe, structurally sound, and sanitary. If a home is well-maintained, the appraisal process is typically smooth.
8. Sellers Can Pay Your Closing Costs
VA rules allow sellers to pay all of a buyer’s standard closing costs plus up to 4% of the loan amount in additional concessions. These concessions can cover things like prepaid taxes, insurance, or even the payoff of a credit card or auto loan.
9. No Private Mortgage Insurance (PMI)
Unlike FHA or conventional loans with less than 20% down, VA loans never require PMI. This saves you hundreds of dollars every month, making your monthly payment lower from day one.
10. Broad Eligibility Requirements
You are likely eligible if you have a Certificate of Eligibility (COE) and meet service minimums:
- 90 days of active duty during wartime.
- 181 days of active duty during peacetime.
- 6 years in the Reserves or National Guard.
- Surviving spouses of veterans may also qualify under certain conditions.
Ready to use your benefit? If you’ve served, you’ve earned these incredible advantages. Reach out to a VA-approved lender to pull your COE, and then contact me at Team Hensley to find the perfect home in the Richmond area. Let’s make it happen!
