VA Loan vs. Conventional Loan
VA loans are available to eligible veterans, service members, and some surviving spouses, offering notable benefits like no required down payment, in exchange for a funding fee and specific eligibility rules.
By submitting, you agree to be contacted by phone, text, or email about your project, including by automated means, even if your number is on a do-not-call list. Consent is not a condition of purchase. See our Privacy Policy and TCPA Compliance page for details.
Assigners CommitmentYour request is only shared with a service provider matched to your project and service area — never sold as part of a bulk or resold list.
VA Loan
A loan program backed by the Department of Veterans Affairs for eligible veterans, active-duty service members, and some surviving spouses, often allowing no down payment.
- No down payment required for many eligible borrowers
- No ongoing monthly mortgage insurance
- Often competitive interest rates relative to conventional loans
- Requires a funding fee in most cases, though some borrowers are exempt
- Only available to those who meet military service eligibility requirements
- Property must generally meet minimum condition standards
Conventional Loan
A mortgage not backed by a government agency, available to any qualifying borrower regardless of military service.
- Available to any qualifying borrower
- Flexible for primary homes, second homes, or investment properties
- Private mortgage insurance can be removed once enough equity is built
- Typically requires a down payment, unlike many VA loans
- Requires private mortgage insurance if the down payment is below a certain threshold
Which one makes sense for you?
For eligible borrowers, a VA loan often provides meaningful savings through no down payment requirement and no monthly mortgage insurance, offset partly by the funding fee. Conventional loans remain the default for borrowers without VA eligibility or those buying investment property.
Key cost factors.
- Whether you meet VA loan eligibility requirements
- Available down payment savings
- Whether you plan to use the property as investment or a primary home
- VA funding fee amount based on service history and down payment
Before you decide.
- Do I meet the service requirements for VA loan eligibility?
- What VA funding fee would apply to my specific situation?
- How does the total cost compare once funding fee and insurance are factored in?
Frequently asked questions.
Is the VA funding fee always required?
No — some borrowers, including certain veterans with a service-connected disability rating, are exempt from the VA funding fee, so it's worth confirming eligibility with your lender.
All figures on this page are illustrative examples for general education, not quotes, appraisals, or guarantees of actual pricing. Actual costs vary by provider, location, project scope, and market conditions — always get a specific quote before making a purchasing decision.
Selling in real estate?
Talk to our sales team about sourcing exclusive, real-time leads, warm transfers, and inbound calls.