Loan Programs · Head to Head
VA vs. conventional: if you're eligible, this usually isn't close.
$0 down and no monthly mortgage insurance is hard to beat. Here's when conventional still wins anyway.
A VA loan is backed by the U.S. Department of Veterans Affairs and built specifically for those who've served: active-duty service members, veterans, National Guard and Reserve members, and some surviving spouses. A conventional loan isn't backed by any government agency and is open to any qualified borrower, VA-eligible or not.
For eligible borrowers, the upfront math usually favors VA by a wide margin. The real question isn't which program is "better" in the abstract, it's whether you're eligible, and whether the specific property you want qualifies.
| Compare | VA | Conventional |
|---|---|---|
| Minimum down payment | $0 for most eligible borrowers | As low as 3% |
| Monthly mortgage insurance | None | PMI below 20% down, cancels automatically once you build enough equity |
| Who's eligible | Active duty, veterans, National Guard/Reserve, some surviving spouses, with a Certificate of Eligibility | Any qualified borrower, no service requirement |
| Upfront costs | One-time VA funding fee, often waived for a service-connected disability | No funding fee, but no $0-down option either |
| Property requirements | Must meet VA safety and livability standards | Standard appraisal, generally more flexible on property condition |
General program guidelines only. Your actual terms depend on the lender, your credit, and the property. Not a commitment to lend.
So which one is it?
If you're eligible for VA, it's very often the stronger option purely on upfront cost, $0 down and no monthly mortgage insurance rarely get beaten. Conventional becomes the real answer when VA eligibility isn't there, or when a specific property (a fixer-upper needing real repair work, for example) doesn't meet VA's condition standards.
Read the full breakdown of each: VA Loans and Conventional.
Common questions
Do I have to be currently serving to qualify for VA?
No. Veterans, active-duty service members, National Guard and Reserve members, and some surviving spouses can all be eligible, depending on length and type of service.
Is there really no down payment on a VA loan?
For most eligible borrowers, yes, VA loans allow $0 down. Your specific loan amount and entitlement can affect this, which is something we'd walk through together.
Do I need 20% down for a conventional loan?
No, that's a common myth. Conventional programs can go as low as 3% down, you'll just carry PMI until you cross 20% equity.
Ready when you are
Not sure which one fits? Let's actually run your numbers.
A real, licensed loan officer checks both against your credit, savings, and goals. No obligation, no credit pull to start.
NMLS #2354674 · Equal Housing Opportunity · Not a commitment to lend