How Does the VA Loan Work, and What Are the Benefits?

For many service members and veterans, the VA loan is one of the most powerful tools available to achieve homeownership. Backed by the U.S. Department of Veterans Affairs, the VA loan program makes buying a home easier and more affordable than most traditional mortgages.

If you’re stationed at Fort Bragg (formerly Fort Liberty) or planning to transition into homeownership in North Carolina, here’s what you need to know about how the VA loan works—and why it’s such a game-changer.

3951 Niarada Dr. Fayetteville, NC 28306

What Is a VA Loan?

The VA loan is a government-backed mortgage program designed for active-duty service members, veterans, and eligible surviving spouses. Unlike conventional loans, VA loans are partially guaranteed by the Department of Veterans Affairs, which allows lenders to offer more favorable terms to qualified borrowers.

Key Benefits of the VA Loan

✅ 1. No Down Payment

One of the biggest advantages: you can buy a home with 0% down. This makes homeownership accessible even if you don’t have years of savings built up.

✅ 2. No Private Mortgage Insurance (PMI)

Conventional loans typically require PMI when you put less than 20% down. VA loans eliminate that cost—saving you hundreds per month.

✅ 3. Competitive Interest Rates

VA loans often have lower interest rates compared to conventional or FHA loans, which can mean significant savings over the life of the loan.

✅ 4. Flexible Credit Requirements

Lenders are more flexible with credit scores since the loan is VA-backed, making it easier for buyers with limited credit history to qualify.

✅ 5. Can Be Used Multiple Times

Your VA loan benefit isn’t “one and done.” As long as you have entitlement available, you can use it again—even keep your Fayetteville home as a rental and buy another in your next duty station.

✅ 6. Assumable Loan

VA loans are assumable, which means a qualified buyer can take over your mortgage if you sell—an attractive feature if interest rates climb.

How the VA Loan Works Step by Step

1. Check Eligibility – Active-duty, veterans, National Guard, and certain surviving spouses typically qualify.

2. Obtain Your Certificate of Eligibility (COE) – Your lender can help you pull this quickly.

3. Get Pre-Approved – Know your buying power before house hunting.

4. Find a Home – Work with an agent who understands VA guidelines (that’s me 👋).

5. VA Appraisal & Underwriting – Ensures the home meets VA standards and is priced fairly.

6. Close & Move In – With little to no out-of-pocket down payment.

   
   
   
   

Frequently Asked Questions (FAQ)

Q: Can I buy a fixer-upper with a VA loan? A: The home must meet VA property standards, so major fixer-uppers usually don’t qualify. However, move-in ready homes and minor cosmetic updates are fine.

Q: Can I use a VA loan for a rental property? A: The home must be your primary residence at the time of purchase. However, you can later convert it into a rental if you move or PCS.

Q: Are closing costs covered by the VA loan? A: You’ll still have closing costs, but they’re often lower. In some cases, sellers can cover them, or you can roll certain expenses into the loan.

Q: Can I use a VA loan with a spouse who isn’t military? A: Yes. You can apply jointly, and I your spouse’s income can help strengthen your loan application.

Q: How long does the VA loan process take? A: Typical closings take 30–45 days, but with my preferred lender, we can close in as little as 15 days, which is a big advantage in competitive markets.

👉 Thinking about using your VA loan benefit? Whether you’re buying your first home or your next one, I can guide you through the process and connect you with a VA-approved lender who knows how to get things done quickly.

📲 Call/text me at 910-916-9315 or email cassie@birchandbeamrealty.com to get started today.

And remember—Close with Cassie.