VA Home Loans 2026: Hampton Roads Buyer's Guide

If you're an active-duty service member, veteran, or eligible surviving spouse buying a home in Hampton Roads — the most VA-loan-active market in America — the VA home loan is almost always the best mortgage program available to you. Zero down. No monthly mortgage insurance. Capped closing costs. Generous seller concessions. A reusable benefit. And one of the cheapest refinance programs in the country (the VA IRRRL).

This 2026 guide breaks down exactly how the VA home loan works, who's eligible, the funding fee math (and how to avoid it), how to get your Certificate of Eligibility, and the specific things first-time VA buyers in Hampton Roads regret not asking before signing.

If you're VA-loan eligible, the question isn't whether to use the VA loan in Hampton Roads — it's why anyone would use anything else. Most local lenders close VA loans every week.

What is a VA home loan?

A VA home loan is a mortgage backed by the U.S. Department of Veterans Affairs (VA), available to eligible veterans, active-duty service members, certain National Guard and Reserve members, and surviving spouses. The loan is made by a private VA-approved lender (a bank, credit union, or mortgage company), but the VA guarantees a portion of it — which is what allows the lender to offer terms no other program can match.

The benefit was created in 1944 as part of the original GI Bill and has helped over 28 million veterans buy or refinance homes since. In 2026, it remains the single best mortgage program available to anyone who qualifies.

VA loan eligibility — who qualifies

Eligibility is service-based. The general categories:

• Active-duty service members — currently serving for at least 90 continuous days (during wartime) or 181 days (peacetime)
• Veterans — service requirements vary by era (Vietnam, Persian Gulf, post-9/11 — generally 24+ continuous months or completion of contracted service)
• National Guard and Reserve members — 6+ years of service, or 90+ days under Title 10/Title 32
• Surviving spouses — un-remarried spouses of veterans who died in service or from a service-connected disability, or remarried after age 57
• Cadets and midshipmen at the U.S. service academies are typically not eligible until commissioning

Discharge status matters: honorable, general under honorable conditions, and certain other-than-honorable discharges may qualify; dishonorable does not. The VA reviews each case individually.

How to get your Certificate of Eligibility (COE)

The Certificate of Eligibility (COE) is the document that proves to the lender you have VA loan eligibility. There are three ways to get it:

• Through your lender — most VA-approved lenders pull the COE automatically through the VA's WebLGY system (often same-day). This is the fastest method.
• Online via eBenefits — log in at va.gov / eBenefits and request the COE
• By mail — VA Form 26-1880 with your DD-214 (or active-duty Statement of Service); 4–6 weeks turnaround

You don't need the COE in hand to start house-hunting — most lenders will issue a pre-approval based on confirmed eligibility while the COE comes through.

VA loan benefits — why it beats other loans

The VA loan stacks an unusual combination of advantages:

• $0 down payment. The only common loan program in the country with true zero-down for the borrower.
• No monthly mortgage insurance. No PMI (conventional), no MIP (FHA), no annual fee (USDA). This alone saves $1,500–$3,000 per year on a typical Hampton Roads home.
• Capped closing costs. The VA limits what the borrower can be charged.
• Generous seller concessions. The seller can pay all of your closing costs plus an additional 4% of the purchase price in concessions — the most generous in any U.S. mortgage program.
• Competitive interest rates. VA rates are typically equal to or better than conventional rates.
• Lenient credit standards. The VA does not set a credit minimum; lender overlays typically start at 580–620.
• No prepayment penalty. Pay off early without fees.
• Reusable benefit. You can use the VA loan multiple times. Once a previous VA loan is paid off, full entitlement is restored. You can sometimes have two VA loans simultaneously during a PCS.
• Cheapest refinance in America (VA IRRRL). No income docs, no appraisal, very low closing costs. See refinance loan types.

VA funding fee & how to avoid it

The VA funding fee is the one cost VA borrowers pay that conventional and FHA borrowers don't. It's a one-time fee that goes to the VA to fund the program for future veterans. It's typically 2.15% of the loan amount on first use with $0 down, dropping to 1.5% with 5% down and 1.25% with 10% down. Subsequent uses are 3.3% with $0 down (then 1.5% / 1.25% with down payment).

Scenario	First Use	Subsequent Use
Purchase, $0 down	2.15%	3.3%
Purchase, 5% down	1.5%	1.5%
Purchase, 10% down	1.25%	1.25%
Cash-out refinance	2.15%	3.3%
VA IRRRL (streamline refi)	0.5%	0.5%
10%+ disabled veteran	EXEMPT — $0	EXEMPT — $0
Surviving spouse (Dependency Indemnity Compensation)	EXEMPT — $0	EXEMPT — $0
Purple Heart recipient (active duty)	EXEMPT — $0	EXEMPT — $0

Funding fee can be financed into the loan amount. Always check exemption eligibility - many veterans don't realize they qualify.

The funding fee can be financed into the loan amount, so you don't need to pay it out of pocket. Crucially, it's waived entirely for:

• Veterans receiving VA disability compensation (any percentage)
• Veterans entitled to receive disability compensation but receiving retirement pay instead
• Surviving spouses receiving Dependency and Indemnity Compensation (DIC)
• Service members who received the Purple Heart while on active duty

Many veterans don't realize they're exempt — confirm this with your lender. The exemption alone saves thousands.

VA loan limits in 2026

For VA borrowers with full entitlement (most), there is no VA loan limit in 2026. You can borrow whatever amount your income, credit, and DTI support. This is a huge benefit in higher-cost markets.

If you have partial entitlement (because you have an active VA loan elsewhere or had a previous VA loan default), the loan limit defaults to the conforming loan limit ($806,500 in most Virginia counties, higher in DC metro). You can still buy above the limit but you'll need to bring 25% of the difference as down payment.

How to use a VA loan to buy a home in Hampton Roads

The buying process is the same Virginia process for any loan, with a few VA-specific steps.

1. Confirm eligibility and get your COE

Most lenders pull this in under an hour through WebLGY.

2. Get pre-approved by a VA-approved lender

Compare two or three VA-approved lenders' Loan Estimates. Hampton Roads has dozens of VA-loan-active local lenders; ask your buyer's agent for recommendations of lenders who close VA loans on time, every time.

3. Find a VA-eligible home

The home must meet VA Minimum Property Requirements — safe, sanitary, structurally sound, with working systems, no peeling paint on pre-1978 homes, no exposed wiring. Most Hampton Roads inventory qualifies; older homes may need repairs negotiated as part of the contract.

4. Make an offer with VA-friendly terms

Use the seller-concessions advantage. The seller can pay all your closing costs plus up to 4% in additional concessions. On a $325k home, that's potentially $10–20k+ of buyer cash savings. Build it into the offer.

5. VA appraisal

The VA orders its own appraisal that values the home AND assesses property condition. The appraiser will issue a "Notice of Value" (NOV). If repairs are required, the seller (or buyer, by negotiation) must complete them before close.

6. Close at a Virginia title company

Standard 30–45 day timeline. Sign at settlement, wire your funds (verify by phone — wire fraud is rampant against first-time buyers), receive the keys.

VA vs. FHA vs. Conventional

For an eligible Hampton Roads buyer, the VA loan almost always wins. The exceptions:

• You don't qualify for VA — use FHA (lower credit / lower down) or conventional 97 (better credit / 3% down)
• You're buying an investment property — VA can't be used for pure investment; conventional only
• You're buying a 2nd home / vacation home — same; conventional
• You want to assume that you'll keep the home as a rental and PCS — VA is fine but you'll typically need to live in the home first; talk to your lender about PCS scenarios

For a side-by-side breakdown of all three, see our FHA loan deep-dive and our conventional loan guide.

Why VA loans dominate Hampton Roads real estate

Hampton Roads is the densest concentration of military service in the country. The major commands:

• Naval Station Norfolk — the largest naval base in the world; ~50,000 military personnel
• Naval Air Station Oceana — Master Jet Base for the East Coast; thousands of personnel
• Joint Expeditionary Base Little Creek-Fort Story — Special Warfare and amphibious operations
• Naval Medical Center Portsmouth — major military hospital
• Joint Base Langley-Eustis — Air Force + Army on the Peninsula
• Naval Weapons Station Yorktown — supply and ordnance
• Coast Guard Sector Hampton Roads — multiple stations

Local lenders, agents, and sellers see VA loans every week. Browse VA-loan-friendly homes in Hampton Roads. For PCS-specific guidance see our PCS to Norfolk guide or general PCS to Hampton Roads guide.

Mistakes to avoid with a VA loan

• Not asking about funding fee exemption. If you receive any VA disability compensation, the fee is waived. Many vets don't know.
• Picking the lender the listing agent recommends. Always shop 2–3 VA lenders.
• Underusing seller concessions. The VA program lets the seller cover almost everything. Build it into the offer.
• Trying to use VA on an investment property. VA is for primary residences only.
• Skipping the COE early. Get it pulled in the first week so it's not a closing-day surprise.
• Choosing a non-VA-experienced inspector or appraiser. The VA appraisal has its own quirks; work with people who've done it before.
• Forgetting about the IRRRL. If rates drop after you close, the VA IRRRL can refinance you to a lower rate with no income docs and no appraisal.

VA Home Loans — FAQ

Who is eligible for a VA home loan?

Active-duty service members (90+ days wartime / 181 days peacetime), veterans (varies by era), 6+ year National Guard/Reserve members, certain surviving spouses, and a few additional categories. Discharge must be honorable or general under honorable conditions in most cases.

What credit score do I need for a VA loan?

The VA itself doesn't set a minimum credit score. Lenders apply their own overlays — typically 580–620 minimum, with the best rates at 700+. See our credit score guide.

How much down payment is required for a VA loan?

$0. The VA loan is the only common mortgage program with true zero-down financing. You can put money down voluntarily to reduce the funding fee or shorten amortization.

What is the VA funding fee in 2026?

2.15% of the loan amount on first use with $0 down (3.3% on subsequent use). Drops to 1.5% with 5% down, 1.25% with 10% down. VA IRRRL refinance is 0.5%. Waived entirely for veterans receiving VA disability compensation, surviving spouses, and Purple Heart recipients.

Are there VA loan limits in 2026?

For most veterans (full entitlement) there is no VA loan limit. You can borrow what your income, credit, and DTI support. Partial-entitlement borrowers default to the conforming loan limit ($806,500 in most Virginia counties).

Can I use a VA loan to buy a vacation home or investment property?

No. VA loans are for primary residences only. You can buy a 2-4 unit property if you live in one of the units, but pure vacation or investment homes require conventional financing.

Can I use a VA loan more than once?

Yes — the benefit is reusable. Once a previous VA loan is paid off (or assumed by another VA-eligible buyer), your full entitlement is restored. You can also have two VA loans at once in some PCS scenarios using your remaining entitlement.

How long does a VA loan take to close?

30-45 days from offer accepted, similar to other loan types. VA appraisal sometimes takes a few extra days, but VA IRRRL refinances often close in 2-3 weeks.

Can sellers really pay all my closing costs with a VA loan?

Yes — and they can also pay up to 4% of the purchase price in additional seller concessions on top of standard closing costs. This is the most generous concession allowance in any U.S. mortgage program.

What's the difference between a VA loan and a VA IRRRL?

The VA loan is the original purchase or refinance. The VA IRRRL (Interest Rate Reduction Refinance Loan) is a streamlined refinance available only to existing VA borrowers — no income docs, no appraisal, just lower rate or move from ARM to fixed. Refinance loan types.

Sources & further reading

• VA — Home Loan Programs
• VA — Eligibility for VA home loan programs
• VA — VA Funding Fee and Closing Costs
• VA — IRRRL refinance
• VA — Certificate of Eligibility request
• VA — Loan Limits
• CFPB — Loan Estimate
• Virginia Housing — first-time buyer programs

VA program rules, funding fees, and limits change. Always confirm current details with the VA and your lender.