buying a home with a VA loan

By Valerie Brown, Broker Owner of Visit Vegas Homes in Las Vegas Nevada


When it comes to buying a home, one of the biggest hurdles for many prospective buyers is managing the closing costs. If you're a veteran or active-duty service member considering a VA loan, you're in luck. VA loans offer numerous benefits, including the potential to save on closing costs. In this article, we'll explore practical tips and strategies to help you minimize your financial burden during the home buying process.


Understand VA Loan Benefits

First and foremost, it's crucial to understand the unique advantages of VA loans. These loans are backed by the U.S. Department of Veterans Affairs and are designed to make homeownership more accessible for veterans and service members. VA loans typically require no down payment and offer competitive interest rates, making them an attractive option for eligible borrowers.


Negotiate with the Seller

One effective strategy to reduce closing costs is to negotiate with the seller. You can request that the seller contribute towards your closing costs as part of the purchase agreement. While there are limits to how much the seller can contribute, this can significantly offset your expenses.


Compare Lenders

Not all lenders offer VA loans on the same terms. It's essential to shop around and compare lenders to find the best deal. Look for a lender who specializes in VA loans and can offer you competitive interest rates and lower fees.


Be Aware of VA Funding Fee

While VA loans have many advantages, they come with a funding fee, which helps support the loan program. However, this fee can be rolled into your loan amount, reducing the upfront cost. Be sure to discuss this option with your lender to see if it makes sense for your financial situation.


Know Who is Exempt from VA Funding Fee

It's important to note that some veterans and eligible individuals are exempt from paying the VA funding fee. Those exempt include:


·      Veterans who receive compensation for service-connected disabilities

·      Veterans who would receive disability compensation if they didn't receive retirement pay

·      Veterans rated as eligible to receive compensation based on a pre-discharge exam or review

·      Veterans who can but are not receiving compensation because they're on active duty

·      Purple Heart recipients

·      Surviving spouses who are eligible for a VA loan

·      Staying informed about your eligibility for this exemption can further reduce your closing costs.


Utilize Lender Credits

Some lenders may offer lender credits to cover a portion of your closing costs in exchange for a slightly higher interest rate. This can be a beneficial strategy if you plan to stay in your home for a longer period.


Consider a No-Closing-Cost Option

Many lenders offer no-closing-cost VA loans, where they absorb the closing costs in exchange for a slightly higher interest rate. While this option can save you money upfront, it's important to calculate the long-term cost to determine if it's the right choice for you.



VA loans offer a fantastic opportunity for veterans and active-duty service members to achieve homeownership with reduced closing costs. By understanding the unique benefits of VA loans, implementing the strategies mentioned above, and knowing your exemption status for the VA funding fee, you can minimize your financial burden and make your home buying journey smoother.


At Visit Vegas Homes, we take pride in specializing in military and VA assistance in real estate. Our team is dedicated to serving veterans, service members, and their families in finding their dream homes while maximizing the benefits of VA loans. We are committed to providing accurate information and guiding our clients through the home buying process with integrity and professionalism.


Allow me to introduce myself; I'm Valerie Brown, Broker Owner of Visit Vegas Homes in Las Vegas, Nevada. With more than two decades of experience in real estate, including roles in escrow and title, working for a commercial developer, and managing construction projects, I understand the nuances of the real estate market in Las Vegas, Nevada.