What is the down payment requirement for VA loans?

VA loans, which are guaranteed by the U.S. Department of Veterans Affairs, provide a significant benefit to eligible veterans, active service members, and certain members of the National Guard and Reserves. One of the most notable features of VA loans is that they typically do not require a down payment. This means that qualifying borrowers can finance 100% of the home's value, allowing them to purchase a home without needing to make a substantial initial payment.

This absence of a down payment requirement can make homeownership more accessible for veterans and service members, enabling them to utilize their benefits more effectively. Additionally, VA loans often have favorable terms such as lower interest rates, no private mortgage insurance (PMI), and limits on closing costs. These factors collectively support the mission of helping veterans achieve homeownership without the financial burden of a down payment.