Why Military Life Has Its Perks: 2027 Benefits Guide
The biggest perks of military life heading into 2027 are a VA home loan with no down payment or mortgage insurance, TRICARE Prime with no enrollment fees or network copays for active duty members, a Post-9/11 GI Bill that pays tuition plus a housing allowance, and a retirement plan in which DoD adds up to 5% of basic pay to your Thrift Savings Plan. Each is summarized below with its 2027 status, checked against VA, TRICARE, Military OneSource and the Code of Virginia on October 29, 2026.
Key takeaways at a glance
- VA loan benefit: $0 down, no PMI, reusable.
- TRICARE: no enrollment fees or network copays in Prime for active duty members.
- Post-9/11 GI Bill: tuition, housing and books for up to 36 months.
- Tax advantages: combat zone exclusion plus Virginia subtractions for military pay and retirement income.
- 2027 pay is not final: the FY2027 NDAA was not law as of October 29, 2026, and 2027 BAH usually posts in mid-December.
| Benefit | What It Provides | Eligibility |
|---|---|---|
| VA Loan | $0 down, no PMI, one-time funding fee | Service members, veterans, some surviving spouses |
| TRICARE | No Prime fees or network copays for active duty | Active duty, retirees, eligible family members |
| Post-9/11 GI Bill | Tuition + housing + books | Post-9/11 service; transferable |
| SDP Savings Deposit Program | 10% annual interest on up to $10,000 | Eligible combat-zone deployment |
| SCRA | 6% interest cap on pre-service debt | Active duty |
| Combat Zone Tax Exclusion | Federal tax-exempt (officer cap) | Combat zone service |
| Disabled Veteran Property Tax | No Virginia real estate tax on home + 1 acre | 100% P&T disabled; surviving spouses |
In this guide
The VA loan benefit
A VA purchase loan needs no down payment if the price does not exceed the appraised value, and it has no mortgage insurance. Most borrowers pay a one-time funding fee instead, which can be financed: 2.15% on first use with under 5% down, 3.3% on later use, less with 5% or 10% down (rates since April 7, 2023). Veterans receiving VA disability compensation are exempt. Seller concessions are capped at 4%, and the benefit is reusable.. Local steps are in our VA loan guide for Hampton Roads.
TRICARE healthcare
Active duty members enroll in TRICARE Prime and pay no enrollment fees, network copays or point-of-service fees. Family members in Prime pay no enrollment fees or network copays either, and can add the TRICARE Dental Program. Naval Medical Center Portsmouth is the region's main military hospital.
Education benefits
The Post-9/11 GI Bill covers in-state public tuition and fees for up to 36 months; for private schools the cap is $30,908.34 for the 2026-27 academic year. It adds a monthly housing allowance and up to $1,000 a year for books. To transfer it to a spouse or child, you need 6 years of service when approved, must agree to 4 more, and must request it while serving.
Tax advantages
Enlisted members and warrant officers exclude all pay earned in months served in a combat zone from federal income; commissioned officers can exclude up to the highest enlisted pay rate plus hostile fire or imminent danger pay. Under the SCRA, only your state of legal residence can tax your military pay; spouses can elect the same state.
Virginia residents can subtract up to $15,000 of basic pay (phased out between $15,000 and $30,000 of basic pay) and, since tax year 2025, up to $40,000 of military retirement income at any age. Virginia exempts the home and up to one acre of veterans rated 100% service-connected, permanent and total disabled from real estate tax, and that continues for a surviving spouse who does not remarry. City tax rates are on our Hampton Roads property tax and records pages.
Retirement and 2027 pay
Members who joined on or after January 1, 2018 are in the Blended Retirement System: a pension at 20 years using a 2.0% multiplier per year (legacy is 2.5%), plus TSP contributions. DoD adds 1% of basic pay after 60 days of service and, from your third year, matches the first 3% you contribute dollar for dollar and the next 2% at 50 cents.
The 2027 pay raise is not final: the FY2027 NDAA (H.R. 8800) passed the House on July 22, 2026 but was not law as of October 29, 2026. 2027 BAH is due in mid-December; until then, our Hampton Roads BAH calculator shows 2026 rates.
Base shopping, travel & insurance
Commissary groceries sell at cost plus a 5% surcharge, exchanges charge no sales tax, and Space-A travel offers unused military flight seats at little or no cost. SGLI life insurance covers up to $500,000 for $26 a month at the maximum and converts to VGLI after separation. If you deploy to an eligible area, the Savings Deposit Program pays 10% on up to $10,000; see our deployment finances checklist.
Support programs
Military OneSource offers free, confidential non-medical counseling (up to 12 sessions per issue) at 800-342-9647, 24/7. Eligible spouses can use the SpouseWorks Scholarship (formerly MyCAA) for up to $4,000 toward a license, certification or associate degree. The military installations in Hampton Roads each run family support and MWR programs.
Frequently Asked Questions
What's the best financial perk of military service?
For a buyer, often the VA loan. Over a 20-year career, the pension and TSP match are worth more.
Does my spouse get military benefits?
Many: TRICARE, commissary and exchange access, MWR, counseling, the SpouseWorks Scholarship and transferred GI Bill benefits. A VA loan in their own name is limited to surviving-spouse or MIA/POW cases.
What is the VA loan benefit worth?
On an illustrative $325,000 purchase, FHA needs at least 3.5% down ($11,375), a 1.75% upfront premium (about $5,490) and 0.55% a year in mortgage insurance (about $1,725 in year one) for the life of the loan. A first-use VA loan needs $0 down and no mortgage insurance, with a $6,987.50 funding fee, or none if you receive VA disability pay.
What is the Post-9/11 GI Bill?
A VA education benefit for those with 90+ days of active duty since September 11, 2001.
What are MWR programs?
Morale, Welfare, and Recreation: installation-run recreation, fitness, travel and family programs.
Is military pay tax-exempt?
Basic pay is federally taxed except in combat zone months; BAH and BAS are not taxable.
What is Space-A travel?
Flying on leftover seats on military aircraft. Seats cannot be reserved, so plans must be flexible.
What is the disabled veteran property tax exemption in Virginia?
Veterans rated 100% service-connected, permanent and total disabled owe no real estate tax on their home and up to one acre (Va. Code 58.1-3219.5). Apply through your city's commissioner of revenue or assessor.
Have a question about your home purchase?
Talk to a Hampton Roads buyer's agent or loan officer who can walk through your specific situation - no pressure, no obligation.
Sources & further reading
- VA: Funding fee and closing costs
- TRICARE
- VA: Post-9/11 GI Bill rates
- Military OneSource
- CFPB: Servicemembers Civil Relief Act
- VA: SGLI
- Code of Virginia 58.1-322.02
- Virginia Department of Veterans Services
Checked October 29, 2026. Always confirm current details with the relevant agency, lender, or licensed professional before relying on any specific figure or rule.
About the Author
Tom & Dariya Milan are a husband-and-wife team of licensed Virginia real estate agents serving Hampton Roads since 2005. Tom handles listing strategy, pricing and negotiation; Dariya handles buyers, contract-to-close and relocations. Their closings and reviews, pulled from the MLS, are on the About page. Brokered by LPT Realty. Call (757) 777-7577 or email tom@vahome.com.
About the Hampton Roads Real Estate Market
Hampton Roads is one of the most dynamic real estate markets on the East Coast, anchored by the largest naval complex in the world at Naval Station Norfolk and home to roughly 120,000 active-duty, reserve, and civilian Department of Defense personnel. The region spans seven cities — Virginia Beach, Norfolk, Chesapeake, Suffolk, Portsmouth, Hampton, and Newport News — plus the Peninsula communities of Williamsburg, Yorktown, and Poquoson, with each market carrying its own personality, school district, and price profile.
Buying or selling here means thinking about more than just a house. Tidewater geography means flood zones, hurricane preparation, and waterfront premiums matter. Military presence means BAH affordability, PCS season inventory crunches (May through August), and VA loan eligibility are top of mind for a meaningful share of every neighborhood. School quality varies block by block, especially across the seven independent city school divisions, and is often the deciding factor for relocating families.
Why Buyers and Sellers Choose VaHome
Tom & Dariya Milan, Realtors focus on the Hampton Roads region with deep expertise in military relocation, VA financing, and the trade-offs that local buyers actually face. From listing strategy that gets your home in front of the right relocating buyer to buyer representation that respects your BAH cap and PCS timeline, the team treats every transaction as a long-term relationship. The site is built to make decisions clearer: BAH-aware search, drive-time mapping to every major installation, neighborhood guides written by people who live here, and a calculator that shows real monthly cost — taxes, insurance, HOA, and PMI included — instead of a teaser headline number. Brokered by LPT Realty.
Plan Your Next Move
Whether you are buying your first home with a VA loan, moving up while your kids transition between school districts, or selling a Hampton Roads property to relocate to your next duty station, the resources on this site are organized around the questions you are actually asking. Browse listings filtered by base proximity, paygrade-aware BAH cap, and commute time. Read neighborhood guides for Virginia Beach, Norfolk, Chesapeake, Suffolk, Hampton, Newport News, Williamsburg, and the Peninsula communities. Use the mortgage calculator to compare conventional, FHA, VA, USDA, and jumbo loan scenarios side by side. When you are ready to talk, the contact form goes directly to a specialist who knows the area, the lenders, and the timing.