VA vs Conventional Mortgage

If you're eligible for a VA loan, you may wonder whether to use it or go conventional. Both are strong options, and the right choice depends on your situation.

Down Payment

VA loans allow zero down, while conventional loans typically start at 3 to 5 percent down. For many eligible buyers, the VA option is hard to beat here.

Mortgage Insurance

VA loans have no monthly mortgage insurance, though they do have a one-time funding fee. Conventional loans with less than 20 percent down include PMI until you build equity.

When Conventional Might Win

In some cases, such as buying a second home or investment property, or when you're exempt from the funding fee comparison, a conventional loan can make sense.

When VA Usually Wins

For a primary residence with little or no down payment, the VA loan's benefits are usually the strongest choice for eligible buyers.

Let's Compare Your Options

As your REALTOR, I can connect you with lenders to compare VA and conventional side by side. Reach out and we'll find your best path.