VA Loans for First-Time Home Buyers in Virginia: Down Payment Help and What to Expect

A VA Loan Isn't Just for First-Time Buyers, but It's Ideal for Them

There's no special VA program just for first-time buyers. The VA home loan benefit is available to eligible veterans, active-duty servicemembers, certain Guard and Reserve members and some surviving spouses, whether it's their first home or their fifth. But for first-time buyers, it's often the strongest option available, because it can remove the biggest obstacle: the down payment.

This guide focuses on what first-time buyers in Virginia should know. For the full program overview, see my guide to VA loans in Hampton Roads.

No Down Payment for Eligible Buyers

For borrowers with full entitlement, VA loans generally require no down payment, and they don't charge monthly mortgage insurance. Most borrowers pay a one-time VA funding fee, which can usually be financed into the loan; veterans with a qualifying service-connected disability rating are typically exempt.

That combination often makes a VA loan less expensive month to month than an FHA or low-down-payment conventional loan. My VA vs. FHA comparison shows how they stack up.

Is There VA Down Payment Assistance?

Because most VA borrowers don't need a down payment, the VA itself doesn't offer a down payment assistance program. What first-time VA buyers usually need help with is closing costs.

Virginia Housing offers loan programs and grants for eligible first-time and moderate-income buyers, and some of its options can be used with a VA loan through participating lenders. Eligibility depends on income, price limits and homebuyer education. See my guides to Virginia Housing down payment assistance and closing cost assistance in Virginia, and ask your lender which programs can be paired with VA right now.

Covering Closing Costs on a VA Loan

VA has one of the most flexible structures for seller help. A seller can pay your normal closing costs, plus up to 4% in additional concessions for items like prepaids and the funding fee. My guide to seller concession limits by loan type explains how that works, and my Virginia closing costs calculator gives you a rough estimate of what to plan for.

The VA Appraisal and Property Requirements

VA appraisals check that a home meets minimum property requirements: safe, sound and sanitary. Older homes with peeling paint, roof issues or non-working systems can be flagged for repairs before closing. First-time buyers shopping older neighborhoods should keep that in mind; I'll help you spot likely issues before you make an offer.

Steps for First-Time VA Buyers

Request your Certificate of Eligibility, often through your lender. Get pre-approved with a lender experienced in VA loans. Set your budget with my home affordability calculator. Then we'll tour homes, write an offer, complete inspection and the VA appraisal, and close. If you're arriving on orders, my PCS and military page explains how I help buyers shopping from out of state.

Your Entitlement Can Be Used Again

Your VA benefit isn't one-time. Entitlement can often be restored after you sell and pay off the loan, and in some cases you can have more than one VA loan at once. That makes VA a great fit for military families who expect to move again. My guide on selling a house with a VA loan covers what happens later.

Let's Get You Started

I'll connect you with local lenders who work with VA buyers every day and guide you through the purchase. Learn more on my first-time homebuyers and buyer's agent pages, or compare all options in my guide to the best loan for first-time buyers in Hampton Roads.

This article is general information, not legal or financial advice. Loan program rules, concession limits and lender requirements change, so confirm current details with a licensed lender before you make decisions.