Loans Build or renovate VA rehab
VA rehab: buy a home that needs work, with no down payment
VA allows you to buy a home and improve it in the same loan, based on what the home will be worth when the work is done. Few lenders offer it, which is where a Mortgage Broker helps.
New to this loan? Start here: Why VA loans usually win, and who qualifies Step 1 of 7 on the guided path Using your VA benefit
Who it fits
It fits veterans who find a structurally sound home that will not pass VA's property standards in its current condition, such as one with a roof near the end of its life or an outdated furnace. Rehab financing covers those repairs as part of the purchase.
Why comparing lenders matters here
Because VA leaves the details to lenders, terms vary widely: repair caps, draw schedules and credit minimums. As a Mortgage Broker, we compare lenders that offer VA renovation, so you are not turned away by one that does not.
Other options for a fixer-upper
If you are eligible for VA, start with VA renovation. If you qualify for a VA loan, it is often the best mortgage available to you. VA loans have no down payment, no monthly mortgage insurance, typically the lowest rates, limited closing costs and flexible qualifying. For larger or structural projects, other renovation loans may fit:
- HomeStyle Renovation for larger or structural projects
- FHA 203(k) for flexible credit
Calculators and guides
Common questions
Is there an official VA renovation program?
VA allows buying and improving a home in one loan, but there is no separate program name. Lenders build their own renovation products within VA rules, and their limits vary.
Can I do the work myself?
Lenders almost always require a licensed contractor for VA renovation loans.
What if the repairs are structural?
Many VA renovation lenders exclude structural work. A conventional HomeStyle or FHA 203(k) Standard loan may fit better.