Can I Get a VA Loan With 0% Down / 100% Financing?
Yes. VA loans allow eligible veterans, service members, and some surviving spouses to buy a home with no down payment, as long as the sales price does not exceed the appraised value. That does not mean the purchase is entirely cost-free, though. Only the VA funding fee can be rolled into the loan, so buyers still typically need cash for things like earnest money, the appraisal, and an optional inspection, commonly totaling roughly $1,000 to $2,500.
Last updated July 22, 2026How does 100% financing work on a VA loan?
A VA-backed purchase loan lets a qualified borrower finance the full purchase price with no down payment, provided the home appraises at or above the agreed sales price. If the price is higher than the appraised value, the borrower generally needs to cover that gap in cash or renegotiate the price. This 0% down feature is one of the defining benefits of the VA loan program and is available nationwide, not limited to certain zip codes or income levels the way some other zero-down programs are.
What out-of-pocket costs still apply if there is no down payment?
Even with 0% down, a VA loan is not entirely cash-free at closing. VA rules allow only the VA funding fee to be financed into the loan amount. Other charges, such as earnest money deposited when the offer is accepted, the mandatory VA appraisal, and an optional but commonly recommended home inspection, must be paid in cash, covered by a seller credit, or covered by a lender credit. As of mid-2026, the VA appraisal commonly runs about $650 to $1,300, and a home inspection commonly runs about $300 to $500, so these three items together typically total roughly $1,000 to $2,500. Total cash needed at closing can run higher once prepaid items (like homeowners insurance and property tax reserves) and other fees are factored in, and industry sources commonly cite a broader range of about $2,000 to $8,000 depending on home price and location. Buyers should ask a licensed loan officer for a written, current estimate based on their specific purchase.
Can a surviving spouse use the 0%-down VA benefit?
Yes. Certain surviving spouses of veterans, such as those whose spouse died in service or from a service-connected disability, can obtain a Certificate of Eligibility and use the same 0%-down VA home loan benefit available to veterans. Eligibility rules depend on the circumstances of the veteran's service and death, so a surviving spouse should confirm their specific eligibility before house hunting.
Is a VA loan the only mortgage with no down payment?
No. USDA loans offer a separate 0%-down financing option, but eligibility depends on the property being in a USDA-eligible rural or suburban area and the borrower meeting household income limits. VA and USDA are the two main 0%-down paths; most other loan types require some down payment.
| Down payment | 0% required if sales price does not exceed appraised value |
|---|---|
| What can be financed into the loan | VA funding fee only |
| VA appraisal fee | Commonly about $650-$1,300 |
| Home inspection (optional) | Commonly about $300-$500 |
| Typical total for appraisal + inspection + earnest money | Roughly $1,000-$2,500 |
| Broader total cash to close (with prepaids, other fees) | Commonly cited as roughly $2,000-$8,000, varies by home price/location |
| Surviving spouse eligibility | Available for certain eligible surviving spouses via a Certificate of Eligibility |
| Other 0%-down option | USDA loans, limited to eligible rural/suburban areas and income limits |
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Sources
- https://www.va.gov/housing-assistance/home-loans/loan-types/purchase-loan/
- https://www.va.gov/housing-assistance/home-loans/funding-fee-and-closing-costs/
- https://www.veteransunited.com/education/homebuying/closing-costs/
- https://www.rocketmortgage.com/learn/home-inspection-cost
- https://themilitarywallet.com/guide-to-va-appraisal/
- https://www.va.gov/family-and-caregiver-benefits/housing-assistance/surviving-spouse-home-loan/
- https://www.rd.usda.gov/programs-services/single-family-housing-programs/single-family-housing-guaranteed-loan-program
- https://www.rd.usda.gov/programs-services/single-family-housing-programs/single-family-housing-direct-home-loans
Educational information only, not individualized financial or legal advice. Program details and rates change; verify current terms with a licensed loan officer before making a decision.