VA Home Loan Fact Sheet

VA Home Loan Guaranty

Over seven decades helping Veterans obtain, retain, and adapt their homes


The mission of Department of Veterans Affairs (VA) Loan Guaranty Service (LGY) is to maximize the opportunity for Veterans and Servicemembers to obtain, retain, and adapt homes in recognition of their service to the Nation.  The Home Loan Guaranty is a viable and fiscally responsible benefit program to help Veterans afford homeownership.


Created in the original GI Bill of 1944, VA Home Loan Program has helped millions of Veterans achieve the dream of homeownership.  For the past decade, VA Home Loans have grown in popularity and performed better than other private and government loan programs.  They have maintained the lowest foreclosure and serious delinquency rates for the past 40 quarters.


*Source: VA Loan Guaranty FY2017 data

The benefits of the VA Home Loan Guaranty include:

  • Over 1,500 lenders nationwide can issue VA Home Loans.
  • No down payment required, because VA backs at least 25% of most loans
  • Limited closing costs
  • No realtor brokerage fees or commissions
  • No mortgage insurance required – a potential savings of $200 a month
  • Less stringent credit and income requirements than other options on the market
  • Can be used while on active duty or after six years of National Guard or Reserve service
  • Is available for use on over 100 Tribal lands and U.S. Territories; and
  • May be used more than once
  • Funding fees:
    • can be financed into the loan, or
    • waived for those with receiving service-connected disability compensation rated at 10% or more
  • Up to $6,000 in energy efficiency improvements (e.g. solar heating and cooling, insulation, weatherizing, furnace replacement) can be financed in a VA-guaranteed purchase or refinance loan.

Veterans and Servicemembers should never let anyone talk them out taking advantage of this benefit they have earned!

For more information go to: or call 1-877-827-3702