First-Time Homebuyer Guide for Veterans Using a VA Loan
Updated September 2026 · Checked against VA.gov and 38 CFR · Sources below
On this page
- Why the VA loan is built for first-time buyers
- Step 1: Know your budget, credit and residual income
- Step 2: Get your Certificate of Eligibility
- Step 3: Get pre-approved by a VA lender
- Step 4: Choose an agent who knows VA offers
- Step 5: Make an offer (escape clause, seller concessions)
- Step 6: VA appraisal, MPRs and the home inspection
- Step 7: Underwriting and clearing conditions
- Step 8: Closing day and the funding fee
- Costs to expect: a sample $350,000 purchase
- What your state adds: down-payment help and veteran loan programs
- Common questions
Why the VA loan is built for first-time buyers
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 1: Know your budget, credit and residual income
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 2: Get your Certificate of Eligibility
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 3: Get pre-approved by a VA lender
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 4: Choose an agent who knows VA offers
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 5: Make an offer (escape clause, seller concessions)
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 6: VA appraisal, MPRs and the home inspection
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 7: Underwriting and clearing conditions
This section is being written. See the short answer above and the sources below for what is already confirmed.
Step 8: Closing day and the funding fee
This section is being written. See the short answer above and the sources below for what is already confirmed.
Costs to expect: a sample $350,000 purchase
This section is being written. See the short answer above and the sources below for what is already confirmed.
What your state adds: down-payment help and veteran loan programs
This section is being written. See the short answer above and the sources below for what is already confirmed.
Common questions
- Do you have to be a first-time buyer to use a VA loan?
- No. The VA loan is a lifetime benefit that can be used multiple times; first-time buyers simply benefit most from the $0 down payment and no PMI.
- How long does it take to close a VA loan?
- Most VA purchase loans close in 30 to 45 days, similar to conventional loans; delays usually come from appraisal scheduling or MPR repairs.
- What credit score is needed?
- VA sets no minimum score, but most lenders look for 580 to 620. VA underwriting focuses more on residual income and a 41% DTI guideline.
- Who pays closing costs on a VA loan?
- Buyers pay allowable costs (appraisal, title, recording, up to a 1% lender fee); sellers may pay all closing costs plus up to 4% of the price in concessions such as the funding fee.
- Can I combine a VA loan with down-payment assistance?
- Yes. Many state housing agencies and programs such as Texas Vet, CalVet and ODVA offer grants or below-market rates that pair with VA financing to cover closing costs.
Sources
- The VA does not set a minimum credit score; lenders set their own, and VA underwriting relies on residual income and a 41% debt-to-income guideline.
- Seller concessions on a VA loan are capped at 4% of the established reasonable value of the property.
- First-use VA purchase funding fee with less than 5% down is 2.15%; veterans receiving service-connected disability compensation are exempt.
- The VA loan can be used more than once and there is no requirement to be a first-time homebuyer.
Related guides
Home Loans & Housing
Every guide in this section
The full Home Loans & Housing guide
Start-to-finish overview
The Complete VA Home Loan Guide (2026)
Home Loans & Housing
VA Certificate of Eligibility Guide: How to Get Your COE
Home Loans & Housing
VA Purchase Loan Guide: Buying a Home With Your VA Benefit
Home Loans & Housing
VA Property Requirements Guide: MPRs and the VA Appraisal
Home Loans & Housing
Home Insurance for Veterans: Real Discounts, Best Carriers and What a VA Loan Requires
Insurance
This guide is general information, not legal or financial advice, and Veterans Alliance is not affiliated with the U.S. Department of Veterans Affairs. Rules and rates change; the linked VA.gov pages are always the authoritative source.