The no down payment option is especially helpful to first time homebuyers who don’t have the proceeds from a prior home sale to put towards the down payment on a house. A VA-guaranteed mortgage enables eligible borrowers to buy a home with zero money down.

Many first time homebuyers don’t have 20 percent of the home’s cost for a down payment. Conventional loan programs require them to pay private mortgage insurance (PMI) each month. With a VA backed home loan, no private mortgage insurance is required. The absence of PMI can save homeowners hundreds each month.

Relaxed credit qualifications are another plus, since establishing credit can take years, putting first time homebuyers with a short credit history at a disadvantage. But with a VA loan, other factors are used to determine whether a military member qualifies.

There is also a lower VA funding fee for first time VA homebuyers, who experience the lowest VA funding fees. The money first time homebuyers save by choosing the VA home loan can be used for moving expenses, home improvements or future planning like college and retirement funds. 

A VA home loan through Resource Financial also means no lender fees, an additional savings for first time homebuyers.