VA renovation loan benefits & guidelines
A VA renovation loan could help you buy a fixer-upper and turn it into your dream home by combining the purchase price and home improvement costs into one loan. Backed by the U.S. Department of Veterans Affairs (VA), VA renovation loans are available with 0% down payment and low interest rates. You can even finance your VA funding fee and closing costs, saving more money upfront.
Why choose a VA renovation loan?
A VA renovation loan lets you borrow up to 100% of the home's value after renovations, with low interest rates and no mortgage insurance. You can also consolidate renovation and purchase costs into a single monthly payment, so you can increase the value of your home without juggling multiple loans.
VA renovation loan guidelines
To qualify for a VA renovation loan, you will need:
- No down payment
- Home appraisal
- Military Certificate of Eligibility (COE)
Getting a VA renovation loan starts with a military Certificate of Eligibility (COE) to confirm your VA loan benefits, and Rate can make this step quick and hassle-free. You’ll also need to partner with a VA-registered contractor to create a plan for your renovations and get price quotes. And you’ll need a VA-certified appraisal to determine your home’s as-completed value as well.
How to apply for an VA renovation loan
Rate’s VA renovation loan application is easy with Rate’s Digital Mortgage. Follow these steps.
1. Check your eligibility
You’ll need a military Certificate of Eligibility (COE). Rate can retrieve yours for you.
1. Check your eligibility
You’ll need a military Certificate of Eligibility (COE). Rate can retrieve yours for you.
2. Gather key documents
Gather documents such as income statements and tax returns to streamline your application.
3. Apply online
Start your application online, and our VA loan specialists will guide you from eligibility to closing.
“As first time homebuyers, we had an enormous amount of questions and just overall uncertainty about the entire process. Even though we purchased during the busy holiday season, there was never a time we felt disregarded. From initial approval of our VA loan, to underwriting and closing, the entire process was peaceful.”
Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Restrictions may apply.
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