Virginia VA Loan Guide for 2026
VA.gov Home Loans
VA Lender’s Handbook (M26-7)
Virginia Housing
Virginia Department of VA
Virginia homebuyers can use a VA-backed loan to purchase a primary residence with flexible down-payment options and no monthly mortgage insurance. In addition to the federal VA benefit, many borrowers compare Virginia Housing offerings (such as down-payment or closing-cost help, when available) and local city/county programs. Start with your COE and a lender pre-approval—county-by-county costs and loan-limit math can vary across the Commonwealth.
VA Home Loans
- VA loans are made by approved private lenders. The VA guaranty helps reduce lender risk, which can translate into low or even 0% down for qualified borrowers.
- Full entitlement: Often means no VA loan limit applies, but you still must meet lender underwriting for income, DTI, residual income, and credit.
- Partial entitlement: County conforming limits are used for entitlement and down-payment calculations when you have an active VA loan or restored entitlement isn’t available.
- 2026 Virginia VA loan limit (1-unit): $832,750–$1,249,125 depending on county.
Virginia programs
- No dedicated statewide veteran home loan program: Most Virginia Veterans use the federal VA loan through a VA-approved lender.
- Virginia Housing options: If you meet program guidelines, you may be able to pair a VA loan with down-payment assistance, grants, or first-time buyer programs (rules and income limits vary).
- Local support: Many cities and counties offer homebuyer education or assistance—ask your lender or a housing counselor what’s available in your area.
Eligibility + COE
- COE required: Your Certificate of Eligibility confirms you meet VA eligibility and shows your entitlement status.
- Service basics: Many borrowers qualify through active-duty service, or Guard/Reserve service with sufficient time-in-service or qualifying active duty.
- Owner-occupancy: Purchase loans are for a primary residence (not an investment property).
- Plan for overlays: VA rules are national, but lenders can add credit/DTI requirements—compare at least two quotes.
Property tax + Virginia resources
- Disabled Veteran real estate tax relief: Virginia provides a real property (homestead) tax exemption for certain Veterans rated 100% service-connected, permanent and total (and eligible surviving spouses), administered locally.
- Where to start: Virginia Housing and VDVS are strong first stops for homebuyer education, benefit contacts, and guidance on state-level eligibility.
- Local cost note: Taxes, title fees, and homeowners insurance can differ widely by county—get a detailed closing-cost estimate early, especially in higher-cost regions.
FAQs
What are common closing costs for VA loans in Virginia?
Does Virginia offer Veteran property tax exemptions (and who qualifies)?
What are the best next steps to apply for a VA loan in Virginia?
Get Approved for a VA Loan in Virginia
What are VA Loans?
VA home loans, provided by the U.S. Department of Veterans Affairs, are designed to help eligible Veterans, active-duty service members, and certain surviving spouses achieve homeownership. These loans remove traditional hurdles by eliminating down payments and private mortgage insurance (PMI), reducing both initial costs and ongoing payments.
A major advantage of VA loans is their competitive interest rates, which are often lower than those of conventional loans, resulting in long-term savings. The program also offers more lenient credit requirements, making it a great option for individuals who may have difficulty qualifying for other loan types.
VA Loan Benefits
VA loans offer distinct advantages, making them an exceptional choice for Veterans, active-duty service members, and eligible surviving spouses. Key benefits include:
No Down Payment
A defining feature of VA loans is the ability to purchase a home without a down payment. This benefit has helped countless Veterans and service members achieve homeownership without the lengthy process of saving for a large upfront cost.
Unlike conventional loans that often require a down payment starting at 3% or more, VA loans remove this hurdle, enabling buyers to allocate funds toward other priorities, such as investments or savings goals. For military families, this can be a game-changer.
Lower Interest Rates
VA loans consistently offer some of the lowest interest rates in the mortgage market, often outperforming conventional options. Over the past several years, VA loans have maintained this advantage, according to industry data.
Lower rates mean significant savings over the life of the loan, reducing monthly payments and overall costs. This advantage also increases purchasing power, allowing Veterans to afford higher-value homes without exceeding their budget.
Flexible Credit Guidelines
VA loans are designed to make homeownership more accessible, especially for those with less-than-perfect credit. Compared to conventional loans, they have more forgiving credit standards, making it easier for many Veterans to qualify.
While credit score requirements vary by lender, VA loans often accept scores as low as 620. They also allow for higher debt-to-income (DTI) ratios and provide shorter waiting periods after financial setbacks like bankruptcies or foreclosures.
Limited Closing Costs
VA loans are structured to minimize upfront costs, with restrictions on how much lenders can charge for loan origination and processing fees, meaning lower overall closing costs.
Sellers can pay all the buyer’s loan-related closing costs and contribute up to 4% of the loan amount in concessions. Additionally, VA borrowers are exempt from certain fees, further reducing out-of-pocket expenses.
No Private Mortgage Insurance (PMI)
Unlike conventional loans that require PMI for buyers with less than 20% down, VA loans do not require PMI —even with no down payment.
This saves Veterans hundreds of dollars annually and maximizes their purchasing power, allowing them to afford more home within their budget. FHA loans, which require both upfront and monthly mortgage insurance premiums, also lack this advantage.
Lifetime Eligibility
Local Virginia Homebuyer Programs
Virginia Beach Housing Resource Center – Homeownership Program
Virginia Beach offers financial assistance to help first-time buyers achieve homeownership.
- Provides up to $40,000 in deferred loans for down payment and closing costs.
- Available to income-qualified first-time homebuyers.
- Requires completion of a homebuyer education course.
Learn more about the Virginia Beach Homeownership Program.
Virginia Housing (VHDA) Down Payment Assistance Grant
This statewide program helps Virginia Beach residents with financial assistance for homeownership.
- Offers up to 2.5% of the home’s purchase price for down payment assistance.
- Available for first-time and low-to-moderate-income buyers.
- Can be paired with other VHDA loan programs.
Learn more about the VHDA Down Payment Assistance Grant.
Habitat for Humanity South Hampton Roads – Affordable Housing Program
Habitat for Humanity partners with eligible families in Virginia Beach to provide affordable housing solutions.
- Offers interest-free mortgages to qualifying buyers.
- Requires homebuyer education and “sweat equity” participation.
- Designed for income-qualified families.
Learn more about Habitat for Humanity’s Program.
- Richmond Down Payment Assistance Program
Richmond provides financial assistance to eligible first-time homebuyers.- Up to $20,000 in down payment and closing cost assistance.
- Available to income-eligible households.
- Zero-interest loans with deferred repayment.
Learn more about Richmond’s Down Payment Assistance Program.
Virginia Housing – Closing Cost Assistance Program
This statewide program is accessible to Richmond homebuyers to ease upfront costs.- Provides up to $5,000 in assistance for closing costs.
- Available for first-time buyers with low-to-moderate income.
- Pairs with other Virginia Housing loan options.
Learn more about the Closing Cost Assistance Program.
Better Housing Coalition (BHC) – Homeownership Program
The Better Housing Coalition supports Richmond residents with affordable housing opportunities.- Provides financial counseling and assistance with home purchase.
- Offers homes at below-market prices for income-qualified buyers.
- Includes homebuyer education programs.
Learn more about the Better Housing Coalition Program.
Norfolk Down Payment Assistance Program
Norfolk offers financial assistance to help first-time homebuyers.
- Provides up to $20,000 for down payment and closing costs.
- Available to income-qualified buyers.
- Requires homebuyer education and counseling.
Learn more about Norfolk’s Down Payment Assistance Program.
Virginia Housing (VHDA) Mortgage Credit Certificate Program
This statewide program benefits Norfolk buyers with tax savings.
- Provides up to $2,000 annually in federal tax credits.
- Available for first-time and income-qualified buyers.
- Pairs with Virginia Housing loans.
Learn more about the VHDA Mortgage Credit Certificate Program.
Habitat for Humanity of South Hampton Roads – Affordable Housing Program
This program partners with Norfolk residents to offer affordable homeownership options.
- Provides interest-free mortgages for income-qualified families.
- Requires homebuyer education and volunteer participation.
- Offers affordable housing solutions for low-income families.
Learn more about Habitat for Humanity’s Program.
Chesapeake Redevelopment and Housing Authority (CRHA) Homeownership Program
The CRHA assists Chesapeake residents with achieving homeownership.
- Provides down payment and closing cost assistance.
- Offers affordable mortgage options for income-eligible buyers.
- Requires completion of homebuyer education courses.
Learn more about the CRHA Homeownership Program.
Virginia Housing (VHDA) Down Payment Assistance Grant
Chesapeake residents can access this statewide program for financial support.
- Offers up to 2.5% of the home’s purchase price for down payment help.
- Available to first-time and income-qualified buyers.
- Can be combined with other Virginia Housing loan products.
Learn more about the VHDA Down Payment Assistance Grant.
Habitat for Humanity South Hampton Roads – Homeownership Program
Habitat for Humanity partners with low-income families in Chesapeake to create affordable housing opportunities.
- Provides interest-free mortgages and affordable payment plans.
- Requires “sweat equity” and financial education.
- Designed for income-qualified households.
Learn more about Habitat for Humanity’s Program.
Arlington County Moderate Income Purchase Assistance Program (MIPAP)
This program supports moderate-income first-time homebuyers in Arlington.
- Offers up to 25% of the home’s purchase price as assistance.
- Designed for income-qualified buyers.
- Requires homebuyer education completion.
Learn more about Arlington’s MIPAP.
Virginia Housing – Closing Cost Assistance Program
Arlington residents can benefit from this program for upfront cost assistance.
- Provides up to $5,000 for closing costs.
- Available to first-time buyers with low-to-moderate income.
- Works in tandem with Virginia Housing loans.
Learn more about the Closing Cost Assistance Program.
Habitat for Humanity of Northern Virginia – Affordable Housing Program
This program assists Arlington residents with affordable homeownership opportunities.
- Offers interest-free mortgages for income-qualified buyers.
- Requires homebuyer education and volunteer participation.
- Focuses on creating sustainable housing for families.
Learn more about Habitat for Humanity’s Program.
VA Loan Eligibility Criteria
To qualify for a VA loan, applicants must meet certain service-related criteria set by the Department of Veterans Affairs (VA). These requirements ensure that Veterans, active-duty service members, and their families have access to this benefit to assist in homeownership.
Eligibility Criteria:
- Veterans: Those who have completed active-duty service and received an honorable or qualifying discharge.
- Active-Duty Service Members: Current members of the military are eligible for VA loans.
- National Guard and Reserve Members: Must have served at least six years or completed 90 days of active-duty service during wartime.
- Surviving Spouses: Spouses of service members who passed away during service or from service-related conditions may be eligible for VA loan benefits.
Minimum Service Time Requirements:
- 90 days of active-duty service during wartime.
- 181 days of continuous active-duty service during peacetime.
- At least six years of service in the National Guard or Reserves, or a minimum of 90 days of active-duty service under Title 32 orders, including 30 consecutive days.
VA Loan Eligibility Calculator
How to Obtain a Certificate of Eligibility (COE)
Obtaining a VA Certificate of Eligibility (COE) is an essential step in securing a VA loan. This certificate confirms that you meet the service requirements established by the Department of Veterans Affairs.
How to Apply:
- Online: Use the VA’s eBenefits portal for a quick and easy application process.
- Through a Lender: Many VA-approved lenders can request your COE electronically on your behalf.
- By Mail: Complete and submit VA Form 26-1880 to the VA. This method may take longer.
Required Documents:
- Veterans: DD Form 214, which outlines your service history and discharge status.
- Active-Duty Service Members: A statement of service signed by your commanding officer.
- National Guard/Reserve Members: Point statements and proof of service, if not activated.
- Surviving Spouses: A marriage license and the Veteran’s death certificate to verify eligibility
Virginia Housing Market Overview
Virginia is still a two-speed market in 2026, with higher prices in Northern Virginia and steadier affordability in many inland metros. Zillow’s Home Value Index puts the typical statewide home value around $395,402, so most buyers do better budgeting by total monthly payment, not list price alone. VA financing can help eligible Veterans preserve cash for inspections, escrows, and reserves. Virginia housing market trends
City-wise housing data
This snapshot uses Zillow Home Value Index estimates and a standard VA principal and interest assumption, so you can compare markets quickly before narrowing to neighborhoods. Your real payment can change based on county taxes, homeowners insurance, and HOA dues, especially in condo heavy areas. Use the table to get bearings, then underwrite the exact address before offers.
| City | Typical Home Value (2026 est.) | Average VA Mortgage Payment* |
|---|---|---|
| Virginia Beach | $372,342 | $2,354 |
| Richmond | $346,588 | $2,191 |
| Norfolk | $299,714 | $1,895 |
| Alexandria | $668,191 | $4,225 |
| Roanoke | $243,935 | $1,542 |
*The VA mortgage payment estimate assumes a 30-year fixed VA loan at 6.5% interest with zero down, principal and interest only. Taxes, insurance, HOA dues, and funding fee status can change totals.
VA loan limits and entitlement in 2026
The 2026 baseline conforming loan limit is $832,750 and the high-cost ceiling is $1,249,125. County limits matter mainly for partial entitlement cases where guaranty math can create a down payment requirement above the county cap. With full entitlement, most borrowers are not capped by county limits and are approved based on income, debts, residual income, and total monthly payment. FHFA 2026 loan limit announcement and FHFA county loan limit map
Virginia housing programs for Veterans
Virginia has strong statewide programs that can reduce cash to close and meaningful property tax relief for qualifying disabled Veterans. The key is aligning your lender and program choice early, because education, income limits, and documentation steps can affect timelines after contract. Use the options below to build your plan, then confirm current eligibility before writing offers.
Virginia Housing down payment assistance
Virginia Housing offers down payment assistance for eligible buyers through participating lenders, commonly structured as a percentage of the purchase price. This works best when you want to preserve reserves and still present a clean offer, especially in competitive markets. Confirm income limits, required education, and lender participation early so the preapproval matches the program rules. Virginia Housing homebuyer programs
- Down payment assistance can be up to 2.5% of the purchase price, which can reduce cash to close and preserve reserves for escrows and inspections.
- Eligibility can include income limits, purchase caps, and education requirements, so a program-aware preapproval prevents wasted showings and offer resets.
- Using a participating lender early keeps program documentation aligned with underwriting conditions and appraisal timing to hit contract deadlines.
Habitat for Humanity affiliates
Habitat affiliates across Virginia can support affordable homeownership and repair programs, with availability depending on local project schedules and funding. This path is best for buyers who can plan around timelines and participation requirements. Contact the affiliate covering your county early to confirm intake dates and expectations. Habitat for Humanity Virginia affiliates
- Local affiliates may offer builds or repairs for qualifying households, but availability depends on county projects, funding cycles, and waitlists.
- Sweat equity requirements can lower ownership costs, yet they require time commitments, so confirm scheduling before planning around this path.
- Many programs include budgeting and homeowner education, which supports long-term stability and fewer surprises after move-in and early repairs.
Disabled Veteran real property tax exemption
Virginia provides a real property tax exemption for qualifying Veterans with a 100% service-connected, permanent, and total disability, and certain surviving spouses may qualify as well. Filing and verification are handled locally, so the county or city assessor is the first stop for your address. Budget with full taxes until the exemption is approved and recorded, then escrows adjust. Virginia Department of Taxation disabled Veteran exemption
- The exemption can remove real property taxes on a qualifying primary residence for Veterans with a 100% service-connected, permanent, and total disability.
- Applications are handled locally, and documentation is required, so gather VA award letters and residency proof early to avoid delays.
- Budget using full taxes until the exemption is recorded, because escrow payments typically adjust only after updated bills are issued.
Types of VA loans
VA loans cover buying, refinancing, and improvement strategies. The right option depends on whether you want the lowest cash to close, a lower rate, or a way to finance repairs without separate high interest debt. Each loan type below starts with the use case, then the three points that most often affect approval and timing.
VA purchase loan
A VA purchase loan helps eligible Veterans buy a primary residence with zero down in many cases and no monthly private mortgage insurance. In Virginia, this is most valuable when you want reserves for inspections, escrows, and repairs while keeping the offer competitive. It can finance one to four units when you occupy one unit, but property condition must meet minimum standards at closing. VA loans
- Zero down financing can keep reserves available for inspections, escrows, moving costs, and early repairs that often appear during the first year.
- No monthly private mortgage insurance can lower the payment compared with many low down conventional loans, improving affordability in higher priced counties.
- It can finance one to four units when you occupy one unit, but property condition must meet minimum standards for safety and habitability.
Interest Rate Reduction Refinance Loan
The IRRRL is designed for borrowers who already have a VA loan and want a lower rate or a more stable payment structure with fewer steps than many refinances. It works best when savings justify costs over your expected time in the home. Confirm the full payment using current taxes and insurance before committing. VA Streamline Refinance
- Streamlined documentation can reduce underwriting friction, helping refinance timelines stay predictable when lender pipelines are busy.
- Eligible closing costs can often be included in the new balance, limiting immediate out of pocket cash needs at signing.
- It works best when monthly savings justify costs and you plan to keep the new loan long enough to break even.
Cash out refinance loan
A cash out refinance replaces the existing mortgage and converts a portion of equity into usable funds for repairs, debt consolidation, or major expenses. This option is most effective when the new payment remains comfortable after updated taxes and insurance. Compare scenarios before you proceed so the refinance improves your overall budget. VA cash out refinance
- Cash out refinancing can access equity for repairs, debt consolidation, or major expenses when the new payment stays comfortable.
- It can refinance VA and non VA loans, depending on entitlement, credit profile, and lender underwriting requirements for appraisal and documentation.
- Underwrite the full new payment with taxes and insurance included so the refinance does not strain the monthly budget.
Rehabilitation and renovation loan
A renovation option can bundle eligible repairs into the mortgage instead of relying on separate high interest financing. This is useful when the home is a strong fit but needs system upgrades to meet standards. Successful files depend on clear contractor bids, realistic timelines, and a scope that underwriting can verify early in the process. VA renovation loans
- Bundling repairs into the mortgage can reduce reliance on higher interest debt for essential system upgrades after purchase.
- Contractor bids and a clear scope protect underwriting, helping appraisal and closing timelines stay predictable overall.
- This option is useful for older homes where roofs, plumbing, and electrical items can impact habitability and final approval.
Energy Efficient Mortgage
An Energy Efficient Mortgage can finance qualifying upgrades that reduce long term utility costs and improve comfort, such as insulation and HVAC improvements. This works best when the project has clear payback and documentation. Pairing upgrades with a purchase or refinance can simplify the process when your lender reviews scope and feasibility upfront. VA Energy Efficient Mortgage
- EEM financing can fund insulation or HVAC upgrades, which can lower utility costs and improve comfort throughout the year.
- Pairing upgrades with a purchase or refinance can be simpler when your lender reviews scope, invoices, and feasibility early.
- Focus on improvements with measurable payback, because lenders review eligibility and may cap costs that do not qualify.
Your Next Steps
Pull your COE and get a true preapproval that includes taxes, insurance, and any HOA dues, not just principal and interest. Choose a target region, Northern Virginia, Tidewater, Richmond, or the I-81 corridor, then set a payment range that stays comfortable with escrows. If you may qualify for Virginia Housing assistance, use a participating lender so program steps and underwriting stay aligned. After acceptance, schedule inspections early and respond quickly to lender conditions.
Frequently Asked Questions
These questions focus on what changes approval and timelines most often, taxes, insurance, condo rules, and local program steps. Each answer gives the practical rule first, then the detail that commonly causes delays if missed. Use them as a checklist before you write offers, especially in higher demand counties.